Getting exposure to the International shares sector has never been easier thanks to ASX ETFs like the BetaShares Legg Mason Emerging Markets Fund (Managed Fund) ETF (ASX: EMMG). That said, no matter how easy it seems to be, we think it’s still important to do your own ETF review.
How the EMMG ETF could be used in portfolios
The BetaShares Legg Mason EMMG Fund is a concentrated and actively managed portfolio of emerging global equities. This fund aims to outperform the MSCI Emerging Markets Index, over a 5 year period.
EMMG could be used by investors looking for a concentrated exposure to emerging companies, as selected by active equity specialists at Martin Currie.
EMMG exceeds our minimum market cap (FUM) criteria
The BetaShares EMMG ETF had $101.21 million of money invested when we last pulled the monthly numbers. Given EMMG’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.
EMMG’s fees & costs explained
BetaShares charges investors a yearly management fee of 1.00% for the EMMG ETF. This means that if you invested $2,000 in EMMG for a full year, you could expect to pay management fees of around $20.00.
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.
Bottom line
This is just a quick overview of the EMMG ETF. Before ‘testing the depth of the water with both feet’ so to speak, be sure to read the EMMG 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 EMMG 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.
