Insights

2 ETFs offering unique investment exposure

The two exchange-traded funds (ETFs) in this article are have the potential to offer unique investment exposure to Aussie investors.
The post 2 ETFs offering unique investment exposure appeared first on The Motley Fool Australia. –

Exchange Traded Fund (ETF)

There are a few exchange-traded funds (ETFs) out there that provide specific and fairly unique diversification for investors.

Here are two to think about:

Betashares Global Cybersecurity ETF (ASX: HACK)

This ETF is provided by BetaShares. The idea is that it provides a simple and cost-effective way to gain exposure to the world’s leading cybersecurity companies in a single ASX trade.

The portfolio of the fund includes global cybersecurity giants, as well as emerging players, from a range of global locations.

Why could this ETF be an interesting one to consider? BetaShares says that with cybercrime on the rise, the demand for cybersecurity services is expected to grow strongly for the foreseeable future.

When you look at the returns after fees over the last few years, you’ll see that it has outperformed the ASX over the shorter-term and the longer-term. At the end of January it had returned 20.8% over the prior three months, 25.2% over the past year, an average of 25.1% per annum over the last three years and it had delivered an average of 20.9% per annum since inception in August 2016.

These returns are after the annual management fee of 0.67% per annum

In terms of the businesses that make up the portfolio, these are the biggest 10 exposures: Crowdstrike, Zscaler, Cisco Systems, Accenture, Splunk, Fireeye, Sailpoint Technologies, Palo Alto Networks, Fortinet and Proofpoint.

A vast majority of the holdings are listed in the US, with an 88.8% allocation. Another 3.5% is based in the UK, 3.4% is listed in Israel, a further 1.9% is listed in Japan, France is home to 1.8%, South Korea is responsible for 0.5% of the ETF and the final 0.1% is from ‘other’.

iShares Global Consumer Staples ETF (ASX: IXI)

This ETF is about providing investors exposure to around 1,200 businesses around the world that are classified as ‘consumer staples’.

Just over half of the ETF is invested in American-listed businesses, with the UK (13.1%), Switzerland (9.3%), Japan (7.2%) and France (5.2%) being the other countries with a weighting of more than 5%.

What businesses make up sizeable positions in the portfolio? These are the companies with a weighting of more than 2%: Nestle, Proctor & Gamble, Coca Cola, Walmart, Costco, Pepsico, Unilever, Philip Morris International, Diageo and L’Oreal.

This ETF has an annual management fee of 0.46% per annum.

The average return per annum over the last three years, five years and ten years has been 5.3%, 4.3% and 11.6% per annum, respectively.

According to Blackrock, this ETF has a 12-month trailing dividend yield of 2.3% and the price/earnings ratio is almost 24 times.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of BETA CYBER ETF UNITS and iShares Global Consumer Staples ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 2 ETFs offering unique investment exposure appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!