Don’t you wonder if now is the time to start analysing the ETF Securities FANG+ ETF (ASX: FANG) and iShares Core MSCI World All Cap ETF (ASX: IWLD)? These Exchange-Traded Funds (ETFs) operate in the International shares sector, a key sector for diversified portfolios.
Is the FANG ETF a good investment? Here’s where you start…
The ETFS FANG ETF provides investors with exposure to the performance of the 10 most highly-traded next generation technology and tech-enabled companies listed on US stock markets. FANG adopts an equal weight strategy, meaning that it weights the shares within the portfolio equally – this differs from the more commonly used method of weighting by market capitalisation.
According to our most recent data, the FANG ETF had $249.46 million of money invested. With FANG’s total funds under management (FUM) figure over $100 million, the ETF meets our team’s minimum investment criteria for FUM levels. As a general rule, our team draws 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 lowers the chance that the ETF issuer will close the ETF.
Get our team’s FANG ETF review, available free when you click this link: access the free investment report.
A quick take of the IWLD ETF
The iShares IWLD ETF provides investors with exposure to a globally diversified portfolio of over 3,800 companies. This is a low-cost way to access global companies from developed markets through a single fund.
With our numbers for October 2021, IWLD’s FUM stood at $213.6 million. Since the IWLD’s FUM is over $100 million, our investing team would say the ETF has met our minimum criteria for the total amount invested, otherwise known as FUM. A very sustainable ETF in the Index sector should be able to scale well and become profitable for the ETF issuer.
Are the fees for the IWLD ETF bad?
iShares, the ETF issuer, charges a yearly management fee of 0.10% for the IWLD ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $2.00.
The management fee is above the average for all ETFs on our list of ASX ETFs, but keep in mind the ETF may be able to justify the higher price tag with superior performance over time.
Did you know: you can get our full ETF review of IWLD by clicking here?
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