The team at Betashares has released three new ASX ETFs this week.
The diversified multi-asset ETFs provide professionally constructed exposure across equities, fixed income, cash and infrastructure.
The three new funds offer balanced, growth and high-growth risk profiles.
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What are diversified ASX ETFs?
ASX ETFs are fast becoming one of the most popular assets for Aussie investors.
Traditionally, investors used ETFs to track broad indexes like the S&P/ASX 200 Index (ASX: XJO) or the S&P 500 Index (SP: .INX).
However providers are now developing more sophisticated and thematic options.
One such sector of ASX ETFs is diversified funds.
Diversified ETFs have become an increasingly popular route for investors to access professionally constructed portfolios in a single trade.
By combining multiple asset classes and thousands of underlying securities within one fund, they can offer a simple and scalable alternative to constructing and maintaining a multi-asset portfolio.
In simple terms, it can combine Australian shares, international shares, emerging markets and fixed income, growth etc in one trade.
Betashares has expanded its Diversified ETF range to provide a simple, low-cost way to implement strategic asset allocation across a range of investor risk profiles.
The three new funds from Betashares
Yesterday, Betashares announced three new diversified funds:
- Betashares Diversified High Growth ETF (ASX:DVHG) – 90% Growth / 10% Defensive allocation.
- Betashares Diversified Growth ETF (ASX:DVGR) – 75% Growth / 25% Defensive allocation.
- Betashares Diversified Balanced ETF (ASX:DVBA) – 60% Growth / 40% Defensive allocation.
The Funds provide exposure to approximately 2,500 Australian and global companies and 12,000 bonds, with broad diversification across asset classes, regions and sectors.
According to Betashares, this can reduce the administration associated with managing multiple holdings, while providing either a simple standalone solution or a passive core to which smart beta or active strategies can be added.
The Diversified Balanced ETF leans more heavily into cash and fixed income for their defensive characteristics, while the All Growth ETF invests only in equities, targeting long-term capital appreciation.
All three funds come with a management fee of 0.19% p.a.
More information about the funds can be found here.
What other diversified ASX ETFs are available?
According to Betashares, Together with the existing Betashares Diversified All Growth ETF (ASX: DHHF), the range now provides investors with diversified portfolio options spanning balanced through to all growth profiles.
For investors looking to compare the new funds with existing ETFs, there are others to consider, including: