Don’t you wonder if now is the time to start analysing the ETF Securities ETFS Ultra Short Nasdaq 100 Hedge Fund (ASX: SNAS) and ETF Securities Physical Gold ETF (ASX: GOLD)? These Exchange-Traded Funds (ETFs) aim to provide exposure to the International shares and Commodities sectors, respectively.
Is the SNAS ETF a good investment? Here’s where you start…
The ETF Securities Ultra Short Nasdaq 100 Hedge Fund (ASX: SNAS) is an ETF designed for trading, since it provides a negative (or ‘inverse’ or ‘opposite’) exposure to the popular Nasdaq-100 index.
According to our most recent data, the SNAS ETF had $16.57 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.
Get our team’s SNAS ETF review, available free when you click this link: access the free investment report.
A quick take of the GOLD ETF
The ETFS GOLD ETF provides investors with access to the precious metal of gold, by seeking to achieve a return equivalent to the movements in the gold spot price, before fees and expenses.
With our numbers for December 2021, GOLD’s FUM stood at $2377.39 million. Since the GOLD’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.
A look at the GOLD ETF fee load?
ETF Securities, the ETF issuer, charges a yearly management fee of 0.004 for the GOLD ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $8.00.
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: you can get our full ETF review of GOLD by clicking here?
So how can you actually invest the GOLD ETF? By getting a free brokerage account with Pearler. If you join Pearler in the month of Jun 2022, with your free Pearler account you can buy the GOLD ETF and pay $0 in brokerage fees. All you have to do is buy and hold the ETF for 12 months.
You can invest as little as $500 in the GOLD ETF to take-up this offer. Sounds pretty good, right? To invest in GOLD for $0 brokerage, simply click here to visit Pearler’s website and sign up.
