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The Lonsec Limited ("Lonsec") ABN 56 061 751 102 rating assigned August 2008 presented in this document is limited to "General Advice" and based solely on consideration of the investment merits of the financial products. It is not a recommendation to purchase, sell or hold the relevant products, and you should seek independent financial advice before investing in these products. The rating is subject to change without notice and Lonsec assumes no obligation to update this document following publication. Lonsec receives a fee from the fund manager for rating the products using comprehensive and objective criteria.
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Get Started with iShares ETFs

1. iShares ETFs: international exposure in one trade

iShares are open-ended Exchange Traded Funds (ETFs) that are traded like any other listed share on the Australian Securities Exchange (ASX). A single trade of an iShares ETF provides a diversified portfolio of international securities/companies. There are currently 19 iShares ETFs listed on the ASX.

2. iShares: the combined advantages of index funds and shares

iShares provide investors with a variety of benefits:

  • iShares ETFs provide diversification – own an entire market, country or region with one trade
  • iShares ETFs are listed on the ASX– buy and sell iShares just like shares whenever the market is open; standard settlement is in A$ on the third business day after the trade date
  • iShares ETFs offer trading flexibility – place market, limit or stop orders, short sell or include iShares in a margin lending portfolio
  • iShares ETFs are liquid – in addition to ASX trading volume, the unique issuance/cancellation mechanism provides a second layer of liquidity
  • iShares ETFs are transparent – fund holdings are published daily*
  • iShares ETFs are cost effective – gain international market exposure at a lower cost than most actively managed funds, with management costs** from as low as 0.09% per annum.

3. iShares ETFs: the exposure you need, when you need it

iShares ETFs trade like other listed shares on ASX, and can be bought or sold through any broker and are available on most trading platforms. They can be traded anytime during normal trading hours using all the trading strategies associated with shares such as market orders, limit orders, stop orders, short sales and margin lending.

iShares offer diversified international exposure as wide ranging as the iShares MSCI Emerging Markets (representing 20+ countries and 300+ companies) or the iShares S&P Global 100 (representing 100 global large-cap shares throughout the world), or as focused as iShares FTSE/Xinhua China 25 (representing approximately 25 companies concentrating only on China). Each iShares exchange traded fund provides easy access to a variety of exposure criteria including market capitalisation, single country, regional and international.

 


* Except for MSCI funds holdings which are published monthly
**Total fund management fees and expenses as a percentage of average net assets, and is equivalent in calculation to the indirect cost ratio ('ICR') and the management expense ratio ('MER').