If you’re looking for an ASX ETF in the International shares sector, chances are, the BetaShares Global Sustainability Leaders ETF (ASX: ETHI) is an ETF you’re considering. Here’s what you need to know.
How ASX investors can use the ETHI ETF
The BetaShares ETHI ETF provides investors with exposure to a diversified portfolio of global companies that fit within the environmental, social and governance (ESG) framework set, along with screening out companies with significant exposure to fossil fuels. ETHI has been certified by the Responsible Investment Association Australasia (RIAA), as part of the Responsible Investment Certification Program.
ETHI meets our minimum market cap (FUM) criteria
The BetaShares ETHI ETF had $869.6 million of money invested when we last pulled the monthly numbers. Given ETHI’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.
ETHI ETF fees explained
BetaShares charges investors a yearly management fee of 0.59% for the ETHI ETF. This means that if you invested $2,000 in ETHI for a full year, you could expect to pay management fees of around $11.80.
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 ETHI, keep in mind that this is just a brief introduction to the ETF. To supercharge your research, take a look at our free BetaShares ETHI report. Then, consider searching our complete list of ASX ETFs for similar ETFs in the International shares sector to compare your options.