Australian (ASX) Stock Market Forum

Choosing an ETF

I know its a bit late, but I recently started investing in EFTs and it turns out there are some really options......
an ever expanding field. (Not for me, it's too confusing; the plenitude of options resolves nothing).

for those interested, FirstLinks provides links to overviews and resources:



Each month, Bell Potter produces its review of Australian and Global ETFs. Latest reviews can be accessed by clicking on the links below:
Feb 2022 | Jan 2022 | Nov 2021 | Sep 2021 | Jul 2021 | Jun 2021

Other ETF Resources

Firstlinks has a wide range of articles on Exchange Traded Funds and how to use them, collected on this link.

The latest BetaShares Australian ETF Review is available here. Earlier reviews can be viewed here.

The latest monthly ETF flows and trends report from Risk Return Metrics is linked here.
 
an ever expanding field. (Not for me, it's too confusing; the plenitude of options resolves nothing).
ever expanding , absolutely , i got into VAS early in my investing adventure as insurance + growth potential

if i hadn't been looking for growth any of the top 200 index funds probably would have done the job in 2011 ( the market recovery since then did the real lifting , along with the DRP on quarterly divs )

i still prefer a LIC over an ETF when the decision is tight , i don't mind paying the extra fee for an active manager that gets results ( most of the time ) , but watch out for the ones that use Mickey Mouse benchmarks

however some ETFs offer exposure to difficult ( and niche ) areas , say where i do not want to buy ' the whole Asian market ' but just one nation or certain sectors in the local or global market

however this quirkiness comes at a cost both in liquidity ( less chance of an easy exit ) and higher fees , sometimes buying an Aussie major miner or bank , will do plenty for the laid-back investor ( as would say WES bought in 2015 or before .. or after if you didn't really like COL , WES went below $31.50 after the COL demerger )

research is very important in ETFs once an ETF is floated most of it is handled by computer so only MAJOR issues are handled by a human interaction ( like they had to change the internals of HVST to stop it happily churning shares until zero , a real fund manager might have spotted the problem in the first year )

so with an ETF if using a complex formula can start digging a hole very quickly ( or been dumbstruck by an unforeseeable event , like negative $US 43 a barrel oil )

will dig into the links

thanks and cheers
 
Well D'oh!

"A proliferation of exchange-traded funds (ETFs) that invest with a theme or which are designed for short-term trading rather than long-term investing has produced a major performance gap between the best and worst over the past five years.

While the best-performing ETF listed on the Australian Securities Exchange produced an average annual compound return of almost 18 per cent over the past five years to October 31, the worst performer has returned an average annual compound of more than minus 28 per cent."

 
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