Here in this blog, we will see about 05 Australian ETFs ( Index funds) which are available on the Australian Securities Exchange. So before that, we will see what is the ETF.
What is ETF?
ETF stands for exchange-traded fund. In simple language, ETFs are the fund that holds more company funds, and in that ETF we can invest our money in the stock market.
There is so much stock out there, and if we need to buy all of them we will need lots of money. We can spend a little amount like $50 on ETFs, it depends on which brokerage site you use.
ETFs are completely passive, If you buy one ETFs you can buy the 200 or 300 Company stocks in that ETF. If you are a long-time investor, So you know that ETFs are giving more return.
Before investing in ETFs kindly read the terms and conditions of ETFs.
01) Vanguard S&P 500 ETF ( VOO )
This ETF invests in 500 Companies on the S&P 500. It invests in 500 Companies in the US. So what are the biggest companies in the US?
Have you heard about Apple, Microsoft, Google ( Alphabet ), Amazon, Tesla, or Facebook?
The management Fee for this ETF is 0.03% and The average returns for the past have been 14% per year which is really good when compared to the saving account.
02 ) Vanguard Australian share Index ( ETF ) ( VAS )
This is one of the most popular ETFs in Australia, Everybody just loves this ETF. These are the top holdings in this ETF are given below:
BHP
CSL
WestPac
Nab
ANZ
MACQUARIE
The management Fee for this ETF is 0.10% and The average returns for the past have been 08% per year which is really good when compared to the saving account.
In this ETF you have to see the Mining, Resource, and Finance companies.
Something cool thing about this ETF provides the Dividend. And this ETF is very popular in Australia.
Betashare Australian sustainability Leader ETF ( FAIR )
So the biggest holding in the Fair are
- XERO LTD
- TELSTRA CORP LTD
- RESMED INC
- SONIC HEALTHCARE LTD
- GOODMAN GROUP LTD
- COCHLEAR LTD
- CSL LTD
- BRAMBLES LTD
- SUNCORP GROUP LTD
In this ETF you have to see the Healthcare, Finance, and Realstate.
The management Fee for this ETF is 0.49% and The average returns for the past have been 08% per year which is really good when compared to the saving account.
03) Betashare Global sustainability Leader ETF ( ETHI )
The Biggest Company in this ETF includes the
- APPLE INC
- NVIDIA CORP
- TESLA INC
- MASTERCARD INC
- PAYPAL HOLDING INC
- VISA INC
- ADOBE INC
- TOYOTA MOTOR CORP
This ETF is Global ETF, So this is not a company in the US OR Australia. But all over global. ( Like Hong Kong, France, Germany, Britain, Canada, and others).
Sector which includes more companies is IT and management.
The management Fee for this ETF is 0.59% and The average returns for the past have been 90.9% per year which is really good when compared to the saving account.
If we research the last five years returns are very good compared to other ETFs. You can actually make a good return when you are investing ethically.
04) Betashares Asia Technology Tigers ETF ( ASIA )
These ETFs Include 50 Tech companies from Asia. List of the companies is listed below:
- SAMSUNG ELECTRONICS CO LTD
- TAIWAN SEMICONDUCTOR
- TENCENT HOLDINGS
- MEITUAN
- ALIBABA GROUP HOLDING
- JD.COM INC
- SEA LTD
- INFOSYS LTD
- NETEASE INC
The management Fee for this ETF is 0.67% and The average returns for the past have been 26.50% per year which is really good when compared to the saving account.
The main country include in these ETFs are
- China
- Taiwan
- South Korea
- India Hong Kong and
- Other
05) Vanguard MSCI Index International Shares ETF ( VGS )
This ETF provides global exposure outside of Australia. Investments in this ETF are pretty Good. It actually invests in 1005 Companies which is a huge number.
The main country includes these ETFs are:
- United state
- Japan
- United Kingdom
- France
- Canada
- Germany
- Netherland
- Switzerland
- Sweden
Average returns from the past five years are 30.76% And the management fee is 0.18%.
For more information, you can visit marketindex.com