On the ASX, the BetaShares Global Banks ETF – Currency Hedged ETF (ASX: BNKS) and iShares S&P Midcap ETF (ASX: IJH) might be worth digging into in 2022.
What to know about the BetaShares BNKS ETF
If you’re looking for an ETF made up entirely of global banks (ex-Australia), then BNKS provides a solution. This ETF tracks the Nasdaq Global ex-Australia Banks Hedged AUD Index.
According to our most recent data, the BNKS ETF had $112.92 million of money invested. With BNKS’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 BNKS ETF. Click here to access our free ETF review.
The iShares IJH ETF – key points
The iShares IJH ETF provides investors with exposure to mid-cap US companies. This is a low-cost way to access a specific segment of the US market through a single fund.
With our numbers for December 2021, IJH’s FUM stood at $238.93 million. Since the IJH’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 IJH ETF bad?
iShares, the ETF issuer, charges a yearly management fee of 0.09% for the IJH ETF. Meaning, if you invested $2,000 for a full 12-month period you could expect to pay a base management fee of around $1.80.
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.
Before rushing out and investing in the IJH 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 IJH.
