Don’t you wonder if now is the time to start analysing the VanEck Vectors MSCI International Sustainable Equity ETF (ASX: ESGI) and Perennial Value/eInvest Future Impact Small Caps Fund (Managed Fund) ETF (ASX: IMPQ)? These Exchange-Traded Funds (ETFs) aim to provide exposure to the International shares and Australian shares sectors, respectively.
Is the ESGI ETF a good investment? Here’s where you start…
The VanEck ESGI ETF provides exposure to sustainable international companies not including Australian or fossil fuel stocks.
According to our most recent data, the ESGI ETF had $111.42 million of money invested. With ESGI’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 ESGI ETF review, available free when you click this link: access the free investment report.
A quick take of the IMPQ ETF
The eInvest IMPQ Fund provides actively-managed exposure to Australian and New Zealand-listed small caps. IMPQ also focuses on investing in companies with positive environmental, social and governance (ESG) outcomes.
With our numbers for October 2021, IMPQ’s FUM stood at $32.8 million. Given it has less than $100 million invested, ask yourself (or your adviser) if the ETF is still too small (and if you should wait to buy into it). If you’re concerned the ETF might not be established enough, compare it alongside one of the other Active ETF (e.g. ETMF) sector ETFs, using our full list of ETFs.
Are the fees for the IMPQ ETF bad?
Perennial Value/eInvest, the ETF issuer, charges a yearly management fee of 0.99% for the IMPQ ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $19.80.
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 IMPQ by clicking here?