How ASX investors can use the NDQ ETF
The BetaShares NDQ ETF provides investors with exposure to the performance of the 100 largest non-financial companies listed on the NASDAQ stock market, weighted by market capitalisation.
NDQ could be used by investors to get exposure to a broad basket of the USA’s largest public companies (excluding financials), with a sizeable weighting to the technology sector. These companies are likely to grow their profit over time and pay semi-regular dividends to their shareholders.
NDQ meets our minimum market cap (FUM) criteria
The BetaShares NDQ ETF had $2447.16 million of money invested when we last pulled the monthly numbers. Given NDQ’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.
NDQ ETF fees explained
BetaShares charges investors a yearly management fee of 0.48% for the NDQ ETF. This means that if you invested $2,000 in NDQ for a full year, you could expect to pay management fees of around $9.60.
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.
Putting it all together
If you’re weighing up investing in NDQ, keep in mind that this is just a brief introduction to the ETF. To supercharge your research, take a look at our free BetaShares NDQ report. Then, consider searching our complete list of ASX ETFs for similar ETFs in the International shares sector to compare your options.
