ETPMPT and MOAT: 2 ASX ETFs to follow

In this article, we’ll try to explain why the ETF Securities Physical Platinum ETF (ASX: ETPMPT) and VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT) are two ASX ETFs worth taking a look at in FY21.

Some things you should know about the ETPMPT ETF

The ETFS ETPMPT ETF provides investors with access to the precious metal of platinum, by seeking to achieve a return equivalent to the movements in the platinum spot price, before fees and expenses.

According to our most recent data, the ETPMPT ETF had $14.64 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.

Like the look of the ETPMPT ETF? Grab our ETF free investment report.

The MOAT ETF – a quick look for savvy investors

The VanEck MOAT ETF provides investors with exposure to a portfolio of carefully selected US companies which fit the criteria of having a sustainable competitive advantage, sometimes called a ‘moat’.

With our numbers for December 2021, MOAT’s FUM stood at $426.55 million. Since the MOAT’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 Multifactor sector should be able to scale well and become profitable for the ETF issuer.

A look at the MOAT ETF fee load?

VanEck, the ETF issuer, charges a yearly management fee of 0.0049 for the MOAT ETF. Meaning, if you invest $2,000 for a full year from now you can expect to pay a management fee of around $9.80.

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.

The VanEck MOAT ETF might be one idea for the watchlist but before you go any further, click here to get our full ETF review – it’s free.

So how can you actually invest the MOAT ETF? By getting a free brokerage account with Pearler. If you join Pearler in the month of Jul 2022, with your free Pearler account you can buy the MOAT 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 MOAT ETF to take-up this offer. Sounds pretty good, right? To invest in MOAT for $0 brokerage, simply click here to visit Pearler’s website and sign up.

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report, and 24/7 access to the Rask community, for FREE by CLICKING HERE NOW or the button below.

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