Is the MVB ETF a good investment? Here’s where you start…
The VanEck MVB ETF provides focused exposure to Australia’s largest industry, the banking sector. This is a low-cost way to invest in the Australian banking industry through a single fund.
According to our most recent data, the MVB ETF had $201.32 million of money invested. With MVB’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 Australian 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.
Get our team’s MVB ETF review, available free when you click this link: access the free investment report.
A quick take of the SSO ETF
The SPDR SSO ETF provides exposure to a diversified portfolio of Australian companies and tracks the S&P/ASX Small Ordinaries Index. SSO is designed to capture the performance of the top 200 Australian small companies based on market cap, ranking from 101 to 300.
With our numbers for July 2022, SSO’s FUM stood at $25.04 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 Index sector ETFs, using our full list of ETFs.
A look at the SSO ETF fee load?
SPDR, the ETF issuer, charges a yearly management fee of 0.5% for the SSO ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $10.00.
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.
Did you know: you can get our full ETF review of SSO by clicking here?
