It’s time to run a ruler over BetaShares Sustainability leaders Diversified Bond ETF – Currency Hedged ETF (ASX: GBND) and Vaneck Australian Equal Weight ETF (ASX: MVW). The ETFs invest in the Fixed interest – International and Australian shares sectors/industries, respectively.
The BetaShares GBND ETF (ASX:GBND)
The BetaShares GBND ETF provides investors with exposure to a portfolio of fixed-rate, investment-grade global and Australian bonds, with a significant allocation to “green bonds” which are issued to directly fund projects that have positive environmental and/or climate benefits.
According to our most recent data, the GBND ETF had $182.55 million of money invested. With GBND’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 Fixed interest – International 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.
To learn more about the GBND ETF, read our free ETF investment report once you’re done with this article.
Vaneck MVW ETF (ASX:MVW)
The VanEck MVW ETF provides exposure to over 60 of the largest and most liquid Australian shares, equally weighted. By equally weighting shares, this ETF aims to reduce concentration risk in specific Australian stocks and sectors.
With our numbers for December 2021, MVW’s FUM stood at $1775.91 million. Since the MVW’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 Equal weight sector should be able to scale well and become profitable for the ETF issuer.
Are the fees for the MVW ETF bad?
Vaneck, the ETF issuer, charges a yearly management fee of 0.35% for the MVW ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $7.00.
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 that you get access to our free investment report on Best ETFs Australia? View the free MVW ETF report by clicking here.
So how can you actually invest the MVW ETF? By getting a free brokerage account with Pearler. If you join Pearler in the month of Mar 2022, with your free Pearler account you can buy the MVW ETF and pay $0 in brokerage fees. All you have to do is buy and hold the ETF for 12 months.
You can invest as little as $500 in the MVW ETF to take-up this offer. Sounds pretty good, right? To invest in MVW for $0 brokerage, simply click here to visit Pearler’s website and sign up.
