Find out what the ETF does
The ETFS ROBO ETF provides investors with exposure to the global value chain of robotics, automation and artificial intelligence (RAAI) related companies. Some investors consider RAAI-related companies as disruptors to industries across the globe and thus, a ‘thematic’ or ‘megatrend’ to invest in.
The ROBO ETF could be used by Australian investors to gain exposure to the RAAI investment thematic. These are companies that have the potential to disrupt industries around the world, and the ROBO ETF provides investors with a means to participate in this high growth and rapidly evolving megatrend.
ROBO’s FUM meets our hurdle
The Global X ROBO ETF had $213.99 million of money invested when we last pulled the monthly numbers. Given ROBO’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.
Pay attention to yearly costs & fees
Global X charges investors a yearly management fee of 0.69% for the ROBO ETF. This means that if you invested $2,000 in ROBO for a full year, you could expect to pay management fees of around $13.80.
For context, the average management fee (MER) of all ETFs covered by Best ETFs Australia on our complete list of ASX ETFs is 0.5% or around $10.00 per $2,000 invested. Keep in mind, small changes in fees can make a big difference after 10 or 20 years.
Our takeaway
If you’re thinking about investing in ROBO, bear in mind that this is just an introductory glance at the ETF. To explore further, check out our free Global X ROBO report. And for good measure, search our complete list of ASX ETFs for similar ETFs in the International shares sector to do a good comparison.
