On the ASX, the BetaShares BetaShares Global Sustainability Leaders ETF – CH (ASX: HETH) and Schroder Investment Management Australia Limited Real Return Fund (Managed Fund) ETF (ASX: GROW) might be worth digging into in 2022.
What to know about the BetaShares HETH ETF
The BetaShares HETH ETF provides investors with a currency-hedged 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. HETH has been certified by the Responsible Investment Association Australasia (RIAA), as part of the Responsible Investment Certification Program. The HETH ETF invests in teh BetaShares ETHI ETF.
According to our most recent data, the HETH ETF had $176.45 million of money invested. With HETH’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.
Keep learning about the HETH ETF. Click here to access our free ETF review.
The Schroder Investment Management Australia Limited GROW ETF – key points
The Schroder GROW Fund is a multi-asset class, actively-managed portfolio of global assets. The fund aims to deliver a return of 5% per annum above inflation (before fees), over a rolling 3-year period.
With our numbers for December 2021, GROW’s FUM stood at $66.42 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 GROW ETF bad?
Schroder Investment Management Australia Limited, the ETF issuer, charges a yearly management fee of 0.83% for the GROW ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $16.60.
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.
Before rushing out and investing in the GROW fund, consider searching our full ETF list to compare the fees and costs of another ETF side-by-side. Another idea might be using our website to get a free but comprehensive investment review on GROW.
