Getting exposure to the International shares sector has never been easier thanks to ASX ETFs like the BetaShares Global Quality Leaders ETF (ASX: QLTY). That said, no matter how easy it seems to be, we think it’s still important to do your own ETF review.
How the QLTY ETF could be used in portfolios
The BetaShares QLTY ETF provides investors with exposure to a diversified portfolio of 150 leading global companies. These companies are ranked and selected by examining companies based on the following factors; high return of equity and profitability, low leverage and earnings stability.
QLTY is designed to outperform typical global equities indices, through its use of quality selection criteria. Investors looking for exposure to 150 high-quality global stocks, could use this ETF to diversify their portfolio.
QLTY exceeds our minimum market cap (FUM) criteria
The BetaShares QLTY ETF had $250.78 million of money invested when we last pulled the monthly numbers. Given QLTY’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.
QLTY’s fees & costs explained
BetaShares charges investors a yearly management fee of 0.35% for the QLTY ETF. This means that if you invested $2,000 in QLTY for a full year, you could expect to pay management fees of around $7.00.
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 QLTY ETF. Before ‘testing the depth of the water with both feet’ so to speak, be sure to read the QLTY 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 QLTY 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.
