Like us, you might have noticed the SPDR Dow Jones Global Select Real Estate Fund ETF (ASX: DJRE) and think that now could be a good time to consider taking a closer look. Here’s what ETF investors need to know.
1. What does the DJRE ETF do for investors?
The DJRE ETF by SPDR invests in global shares/securities of listed real estate investment trusts (REITs). Investors can use these property-focused ETFs to get global exposure to a broad basket of trusts and companies exposed to property, including office spaces, commercial rental spaces and construction projects.
2. Funds under management (FUM)
The SPDR DJRE ETF had $482.8 million of money invested when we last pulled the monthly numbers. Given DJRE’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.
3. Don’t forget about the fees & costs
SPDR charges investors a yearly management fee of 0.50% for the DJRE ETF. This means that if you invested $2,000 in DJRE for a full year, you could expect to pay management fees of around $10.00.
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.
Now what?
These are just a few of the considerations or factors you would need to look at when running the rule over the DJRE ETF. Before you go any further, take a look at our free SPDR DJRE report. And while you’re at it, don’t forget to search our complete list of ASX ETFs.
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