Choosing a single ETF

Altior

Would be interesting to get peoples thoughts on PSRW. It's not a global tracker in a true sense, but that's why I like it. The weighting of holdings is flatter than a typical global tracker (largest single stock being just over 1%) and US weighting lower than a pure tracker. Negatives are the fees (not bad imo, but not as low as the cheapest tracker) and it is distributing. 

JohnWinder

According to the Russell index factsheet, compared with a cap weighted index the return over five years has been less (but not by much), the return/risk ratio over ten years has been less (but not much). But costing more, by not much, I'd be wondering how much does turnover with the index (as it would need more re-adjusting than a cap weighted index) impose extra trading related costs. I'd be thinking it looks more like a great idea than a better product.

Altior

Thanks John, I guess the use case and what I'm attempting to guard against hasn't quite happened yet. A shock to the market that the US is heavily weighted toward (a little like the dot com bubble). Arguably the spike in cb rates should have been worse for this ETF than a pure weighted global tracker, but it stood up pretty well. 

Of course it's a balance and one ideally needs to benefit from US growth too in the long run in order not to be left behind, so it's a compromise and hopefully would soften the blow in such a shock (if at all), it won't completely shield against it.  

Linton

Is PSRW available in the UK? Morningstar says not.

PloughmansLunch

Linton said:

Is PSRW available in the UK? Morningstar says not.

It’s listed on Trading212

https://www.trading212.com/trading-instruments/invest/PSRW.GB

Altior

I hold it on invest engine and AJ Bell. 

TBC15

HL have it.

aroominyork

And I own PSRW on Interactive Investor. It is quite a gentle value tilt, less than the tilt on XDEV (see Morningstar allocations below). PSRW distributes dividend on a quarterly basis - if you want to re-invest the dividend you have to pay the spread again and while 0.16% on a 2%-2.5% annual distribution isn't tragic, the principle annoys me.

PSRW includes emerging markets; if you want a near equivalent without emerging markets look at UBS FTSE RAFI Developed 1000 Index (an OEIC which also has a lower fee).

PS. These are all smart beta funds that follow Rob Arnott's factor theory, which has plenty of adherents and possibly more critics.

[Deleted User]

I hold HSBC FTSE All-World Index Fund (Accumulation C) ticker MDAABG. OCF at 0.13% last time I checked.

Vanguard equivalent, which I hold in Vanguard pension account, FTSE All-World UCITS ETF - Accumulating (VWRP), takes 0.22% cut.

george4064

george4064 said:

george4064 said:

george4064 said:

FWRG's AuM increased from about $92mln on 31 January to about $163mln on 31 March.

The ETF was up about 8% during that period, so vast majority of the increased AuM is down to more people buying it.

FWRG ETF’s AuM continues to increase, now at $383m (10 July).

$477m as at 16 August 

$552m as at 18 September