Getting exposure to the Australian shares sector has never been easier thanks to ASX ETFs like the BetaShares Australia Top 20 Equity Yield Max Fund (Managed Fund) ETF (ASX: YMAX). That said, no matter how easy it seems to be, we think it’s still important to do your own ETF review. So, here’s an overview of the BetaShares Australia Top 20 Equity Yield Max Fund (Managed Fund) ETF (ASX:YMAX) ETF, plus how to take your research to the next level.
How the YMAX ETF could be used in portfolios
The BetaShares YMAX ETF is an actively managed portfolio of Australia’s top 20 blue-chip companies, designed to maximise income by using covered calls.
YMAX exceeds our minimum market cap (FUM) criteria
The BetaShares YMAX ETF had $245.06 million of money invested when we last pulled the monthly numbers. Given YMAX’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 Australian shares sector because we believe that relative to smaller ETFs, achieving this amount of FUM de-risks the ETF.
YMAX’s fees & costs explained
BetaShares charges investors a yearly management fee of 0.79% for the YMAX ETF. This means that if you invested $2,000 in YMAX for a full year, you could expect to pay management fees of around $15.80.
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.
Bottom line
This is just a quick overview of the YMAX ETF. Before ‘testing the depth of water with both feet’ so to speak, be sure to read the YMAX ETF’s Product Disclosure Statement (PDS), available on the BetaShares website, or speak to your financial adviser. For another handy resource, take a look at our BetaShares YMAX report. You can also 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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