In this article, we’ll try to explain why the SPDR S&P World ex Australian Fund ETF (ASX: WXOZ) and ETF Securities FANG+ ETF (ASX: FANG) are two ASX ETFs worth taking a look at in FY21.
Some things you should know about the WXOZ ETF
The SPDR WXOZ Fund invests in shares of larger companies listed on stock markets outside of Australia, without hedging.
According to our most recent data, the WXOZ ETF had $301.04 million of money invested. With WXOZ’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.
Like the look of the WXOZ ETF? Grab our ETF free investment report.
The FANG ETF – a quick look for savvy investors
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.
With our numbers for December 2021, FANG’s FUM stood at $263.4 million. Since the FANG’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.
A look at the FANG ETF fee load?
ETF Securities, the ETF issuer, charges a yearly management fee of 0.0035 for the FANG ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $7.00.
This management fee is below the average for all ETFs on our Best ETFs Australia list of ETFs. However, you might still be able to find a cheaper ETF for less.
The ETF Securities FANG ETF might be one idea for the watchlist but before you go any further, click here to get our full ETF review – it’s free.
So how can you actually invest the FANG ETF? By getting a free brokerage account with Pearler. If you join Pearler in the month of Apr 2022, with your free Pearler account you can buy the FANG 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 FANG ETF to take-up this offer. Sounds pretty good, right? To invest in FANG for $0 brokerage, simply click here to visit Pearler’s website and sign up.
