How ASX investors can use the VIF ETF
The Vanguard VIF ETF provides investors with exposure to high-quality securities issued by governments from around the world.
VIF could be used by investors looking to build out the core of a diversified portfolio, or those looking to gain access to international credit markets. It may also be used by investors looking to establish a regular income stream from the ETF’s distributions.
VIF meets our minimum market cap (FUM) criteria
The Vanguard VIF ETF had $654.34 million of money invested when we last pulled the monthly numbers. Given VIF’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 Fixed interest – International sector because we believe that relative to smaller ETFs, achieving this amount of FUM de-risks the ETF.
VIF ETF fees explained
Vanguard charges investors a yearly management fee of 0.20% for the VIF ETF. This means that if you invested $2,000 in VIF for a full year, you could expect to pay management fees of around $4.00.
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.
Putting it all together
If you’re weighing up investing in VIF, keep in mind that this is just a brief introduction to the ETF. To supercharge your research, take a look at our free Vanguard VIF report. Then, consider searching our complete list of ASX ETFs for similar ETFs in the Fixed interest – International sector to compare your options.
