Can ETFs make the world a better place?

ETFs making the world a better place
 
ETFs are often considered ‘passive’ investments, but in recent years their issuers have become much more active when it comes to their voting rights.

As ETFs have become more popular, the big 3 issuers – Blackrock (iShares), Vanguard and State Street Global now own significant percentages of many large companies around the globe. These funds find themselves in a unusual position, their success depends on the returns of the companies they invest in, yet unlike active managers, index funds can’t sell to take a stand on particular issues.

ETF issuers are coming under more pressure to take action on corporate matters via their ‘proxy votes’.
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Asian market ETFs +34% in 2017

ETF Update - Quarter 4, 2017
 
Our quarterly update on the Australian ETF market as at December 2017.

ETF market highlights

  • ETF funds in Australia hit the $35 billion milestone, adding almost $10 billion in 2017.
  • Quarterly ETF growth was 12%, from $31.7 billion to $35.7 million at the end of December 2017. The additional $4 billion came from a combination of strong markets and consistent ETF inflows.
  • Many Asian share ETFs had an exceptional year, returning 25% to 38%.
  • Active asset allocation ETFs have fizzled due to poor performance from having a high allocation to cash in a year when markets rose strongly.

ETF funds under management since December 2013
Source: ASX
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What to consider when getting a mortgage

Mortgages - things to consider
 
Saving up for a deposit is the first major milestone to getting a mortgage (or home loan) and is one of the toughest to achieve. Frustratingly, getting a mortgage involves far more than simply achieving a savings goal; the approval process can be tedious and emotionally draining.

Here are some factors that can make the mortgage approval process easier.

Show you are reliable

A home loan is the biggest financial commitment most people ever make and lenders want reliable candidates. The application process is designed to prove this reliability, so having all the required payslips, IDs, and general proof of all your financial activity on hand, in chronological order can speed it up.
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Global ETFs surge ahead

ETF Update - Quarter 3, 2017
 
Our quarterly update on the Australian ETF market as at September 2017.

ETF market highlights

  • Quarterly growth for ETFs listed in Australia was 8.9%, from $29.3 billion at the end of June to $31.7 billion at the end of September 2017.
  • The total size of global share ETFs listed on the ASX overtook Australian share ETFs for the first time. Global share ETFs continue to be embraced by Australian investors for better diversification in their portfolios.
  • The latest report from S&P showed that 75% of Australian equity managers, 90% of Global share managers and 86% of Bond managers underperformed their respective benchmarks over the 10 years to 30 June 2017. This trend has continued to support evidence based investing using ETFs.

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