Can the EBND and IGB ETFs be part of an ASX ETF portfolio?

On the ASX, the VanEck Vectors Emerging Income Opportunities Active ETF (Managed Fund) ETF (ASX: EBND) and iShares Treasury ETF (ASX: IGB) might be worth digging into in 2024.

What to know about the VanEck EBND ETF

The VanEck EBND ETF is an actively-managed ETF which provides investors with exposure to a portfolio of bonds and currencies from a range of emerging markets.

According to our most recent data, the EBND ETF had $118.24 million of money invested. With EBND’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 Fixed interest – International 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.

Keep learning about the EBND ETF. Click here to access our free ETF review.

The iShares IGB ETF – key points

The iShares IGB ETF provides investors with diversified access to Australian government bonds with a broad range of maturities. This is a relatively low-cost way to get exposure to Australian Treasury bonds in a single fund.

With our numbers for July 2022, IGB’s FUM stood at $329.34 million. Since the IGB’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 IGB ETF fee load?

iShares, the ETF issuer, charges a yearly management fee of 0.18% for the IGB ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $3.60.

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.

Before rushing out and investing in the IGB fund, consider searching our full ETF list to compare the fees and costs of another ETF side-by-side. Another idea might be using our website to get a free but comprehensive investment review on IGB.

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report, and 24/7 access to the Rask community, for FREE by CLICKING HERE NOW or the button below.

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