Australian and ASX-listed ETFs like the ETF Securities ROBO ETF (ASX: ROBO) are gaining more attention than ever because of how easy they make it for investors to get exposure to the International shares sector. Here’s a quick review of the ROBO ETF.
What does the ROBO ETF do for a diversified portfolio?
The ETFS ROBO ETF provides investors with exposure to the global value chain of robotics, automation and artificial intelligence (RAAI) related companies. Some investors consider RAAI-related companies as disruptors to industries across the globe and thus, a ‘thematic’ or ‘megatrend’ to invest in.
How big is the ETF Securities ROBO ETF?
The ETF Securities ROBO ETF had $125.33 million of money invested when we last pulled the monthly numbers. Given ROBO’s total funds under management (FUM) figure is over $100 million, the ETF has met our minimum criteria for the total amount of money invested, otherwise known as FUM. We draw the line at $100 million for ETFs in the International shares sector because we believe that relative to smaller ETFs, achieving this amount of FUM de-risks the ETF.
ROBO ETF fees reviewed
ETF Securities charges investors a yearly management fee of 0.69% for the ROBO ETF. This means that if you invested $2,000 in ROBO for a full year, you could expect to pay management fees of around $13.80.
For context, the average management fee (MER) of all ETFs covered by Best ETFs Australia on our complete list of ASX ETFs is 0.51% or around $10.20 per $2,000 invested. Keep in mind, small changes in fees can make a big difference after 10 or 20 years.
Next steps
Even if you like what you see, before diving straight into buying the ROBO ETF, please read the ETF’s Product Disclosure Statement (PDS). Also, be sure to take a look at our ETF Securities ROBO report for a more comprehensive overview of this ETF. While you’re on our website, use our complete list of ASX ETFs to search for a few different ETFs in the sector and conduct a side-by-side comparison using everything you’ve learned here.
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