Don’t you wonder if now is the time to start analysing the SPDR S&P World ex Australian Fund ETF (ASX: WXOZ) and VanEck Vectors Gold Miners ETF (ASX: GDX)? These Exchange-Traded Funds (ETFs) operate in the International shares sector, a key sector for diversified portfolios.
Is the WXOZ ETF a good investment? Here’s where you start…
The SPDR WXOZ Fund invests in shares of larger companies listed on stock markets outside of Australia, without hedging.
According to our most recent data, the WXOZ ETF had $201.33 million of money invested. With WXOZ’s total funds under management (FUM) figure over $100 million, the ETF meets our team’s minimum investment criteria for FUM levels. As a general rule, our team draws 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 lowers the chance that the ETF issuer will close the ETF.
Get our team’s WXOZ ETF review, available free when you click this link: access the free investment report.
A quick take of the GDX ETF
The VanEck GDX ETF gives investors exposure to companies from around the world which are involved primarily in gold mining.
With our numbers for Oct 2020, GDX’s FUM stood at $401.8 million. Since the GDX’s FUM is over $100 million, our investing team would say the ETF has met our minimum criteria for the total amount invested, otherwise known as FUM. A very sustainable ETF in the Index sector should be able to scale well and become profitable for the ETF issuer.
Are the fees for the GDX ETF bad?
VanEck, the ETF issuer, charges a yearly management fee of 0.53% for the GDX ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $10.60.
The management fee is above the average for all ETFs on our list of ASX ETFs, but keep in mind the ETF may be able to justify the higher price tag with superior performance over time.
Did you know: you can get our full ETF review of GDX by clicking here?