Find out what the ETF does
The Vanguard VGE ETF provides investors with exposure to companies from a broad range of emerging markets, as well as exposure to currency fluctuations as the portfolio is unhedged.
The VGE ETF may be used by investors who are looking to diversify an existing equity portfolio, or by investors with a high risk tolerance who want to gain exposure to emerging markets.
VGE’s FUM meets our hurdle
The Vanguard VGE ETF had $591.88 million of money invested when we last pulled the monthly numbers. Given VGE’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
Vanguard charges investors a yearly management fee of 0.48% for the VGE ETF. This means that if you invested $2,000 in VGE 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.
Our takeaway
If you’re thinking about investing in VGE, bear in mind that this is just an introductory glance at the ETF. To explore further, check out our free Vanguard VGE 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.
