Vanguard has announced the launch of two new exchange-traded funds (ETFs) offering exposure to overseas markets.
In a statement, Vanguard said the MSCI Index International Shares ETF and the MSCI Index International Shares (hedged) ETF would offer exposure to 1,500 securities across 22 developed share markets, excluding Australia.
Head of product and marketing Robyn Laidlaw said while Australians were frequently reluctant to invest overseas, these new products provided easy access to offshore diversification.
“Australians are among the world’s most enthusiastic overseas travellers; however, when it comes to investing, our home country bias often comes at the expense of the valuable diversification of international investments,” the statement read.
“These new ETFs offer a simple way to tap into the diversification that international sharemarkets offer, through broad exposure to the world’s developed equity markets, while also giving investors the tools to manage their currency risk.
“VGS and VGAD provide straightforward low-cost access to international markets, whether hedged or unhedged, while keeping control of your reporting and investment management onshore.”
Vanguard also said the new funds were part of their low-cost product range.
“With expense ratios of 0.18 per cent per annum (VGS) and 0.21 per cent per annum for the currency hedged version (VGAD), these funds are among the lowest-cost locally-managed international equity product offerings in the market,” the statement said.
SUBSCRIBE TO THE SMSF ADVISER BULLETIN
- 21 Aug 2016Risks flagged with real estate appraisal valuesBy Miranda Brownlee
- 21 Aug 2016Lawyer challenges ATO view on two fund strategiesBy Miranda Brownlee
- 18 Aug 2017ATO locks in details, addresses panic on real-time reportingBy Katarina Taurian
- 18 Aug 2017Data feeds unreliable for new reporting, says mid-tierBy Miranda Brownlee
- 18 Aug 2017Tax component confusion spurs potential tax liabilitiesBy Miranda Brownlee
- 18 Aug 2017Contributions triple in June quarter, survey showsBy Staff Reporter
- view all
- ATO locks in details, addresses panic on real-time reporting
The tax office has addressed several points of confusion with the new events-based reporting regime, locked in key deadlines, and outlined w...read more
- Data feeds unreliable for new reporting, says mid-tier
With an estimated 20 per cent of SMSFs still encountering errors from data feeds, one mid-tier firm believes the ATO should allow SMSF pract...read more
- view all