It’s time to run a ruler over Antipodes Partners Global Shares (Quoted Managed Fund) ETF (ASX: AGX1) and iShares Core Global Corporate Bond (AUD Hedged) ETF (ASX: IHCB). The ETFs invest in the International shares and Fixed interest – International sectors/industries, respectively.
The Antipodes Partners AGX1 ETF (ASX:AGX1)
The Antipodes AGX1 is an actively managed portfolio of global equities, which focuses on building a concentrated fund of undervalued companies.
According to our most recent data, the AGX1 ETF had $24.53 million of money invested. Given its funds under management (also known as FUM or ‘market cap’) is less than $100 million, you should consider if this ETF is still too small and if it is sustainable for the ETF issuer. At Best ETFs we say an ETF with more than $100 million invested is typically more sustainable than one with less than $100 million (at least). However, there are exceptions to this general rule, especially if the ETF issuer/provider is reputable and committed to growing the ETF’s FUM through effective marketing strategies and distribution to financial advisers.
To learn more about the AGX1 ETF, read our free ETF investment report once you’re done with this article.
iShares IHCB ETF (ASX:IHCB)
The iShares IHCB ETF provides investors with access to the performance of investment-grade corporate bonds across global markets and sectors, hedged into Australian dollars. This is a relatively low-cost way to get exposure to global investment-grade corporate bonds in a single fund.
With our numbers for Oct 2020, IHCB’s FUM stood at $345.58 million. Since the IHCB’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 IHCB ETF bad?
iShares, the ETF issuer, charges a yearly management fee of 0.26% for the IHCB ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $5.20.
This management fee is below the average for all ETFs on our Best ETFs Australia list of ETFs. However, you might still be able to find a cheaper ETF for less.
Did you know that you get access to our free investment report on Best ETFs Australia? View the free IHCB ETF report by clicking here.