How the PAXX ETF fits into an ASX portfolio
The Platinum PAXX Fund is an actively-managed fund that invests in a diversified portfolio of Asian companies, excluding Japan. The fund typically selects between 50-100 Asian companies that the investment team at Platinum believe to be undervalued by the market.
PAXX could be used by investors looking for a portfolio of Asian (ex-Japan) companies, as selected and managed by the investment team at Platinum. The focus is on purchasing undervalued companies and providing investors with long-term capital growth opportunities.
PAXX meets our minimum level for FUM
The Platinum Funds Management PAXX ETF had $109.68 million of money invested when we last pulled the monthly numbers. Given PAXX’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.
What about management fees and costs?
Platinum Funds Management charges investors a yearly management fee of 1.10% for the PAXX ETF. This means that if you invested $2,000 in PAXX for a full year, you could expect to pay management fees of around $22.00.
For context, the average management fee (MER) of all ETFs covered by Best ETFs Australia on our complete list of ASX ETFs is 0.5% 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.
Next steps
Before buying any ETF based on what you read here on Best ETFs, check out our Platinum Funds Management PAXX report – it’s completely free! Then, search our complete list of ASX ETFs to do a proper side-by-side comparison of your chosen sector or thematic.
