In this article, we’ll try to explain why the iShares MSCI Emerging Markets ETF (ASX: IEM) and SPDR MSCI World Quality Mix Fund ETF (ASX: QMIX) are two ASX ETFs worth taking a look at in FY21.
Some things you should know about the IEM ETF
The iShares IEM ETF provides investors with exposure to a portfolio of over 800 companies from emerging markets, like China, India and Brazil.
According to our most recent data, the IEM ETF had $950.23 million of money invested. With IEM’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 IEM ETF? Grab our ETF free investment report.
The QMIX ETF – a quick look for savvy investors
The QMIX ETF invests in mid-cap and large (blue chip) shares in over 20 developed markets but uses a multifactor approach to attempt to reduce risk.
With our numbers for December 2021, QMIX’s FUM stood at $31.02 million. Given it has less than $100 million invested, ask yourself (or your adviser) if the ETF is still too small (and if you should wait to buy into it). If you’re concerned the ETF might not be established enough, compare it alongside one of the other Quality factor sector ETFs, using our full list of ETFs.
A look at the QMIX ETF fee load?
SPDR, the ETF issuer, charges a yearly management fee of 0.004 for the QMIX ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $8.00.
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 SPDR QMIX 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.
