Vanguard Australia started some active managed ETFs a few years ago, their VVLU Vanguard Global Value Equity Active ETF (Managed Fund) seems to be doing well.
Last time I look it had AUM = $54M (December 2020, according to BestETFs.com.au)
Looking at Vanguard today it has AUM = $206M (30 June 2021)
Also 1 year Total Return = 49.7%
According to Vanguard Australia
“ In pursuit of its investment objective, Vanguard uses a proprietary quantitative model to evaluate an investment universe comprised of large, mid and small cap equity securities from developed markets across the world, which includes a diverse representation of companies, market sectors and industry groups. This investment universe is drawn primarily from equity securities included in the FTSE Developed All Cap Index and the Russell 3000 Index.
Vanguard’s quantitative model implements a rules-based active approach that aims to assess the factor exposures of securities, favouring equity securities which, when compared to other securities in the investment universe, have lower prices relative to their fundamental measures of value (measures may include price-to-book, price-to-earnings ratio and price-to-operating cash flow).”
It’s 67.5% North America, 13.6% Pacific, 18.3% Europe and 0.6% Middle East
It will be interesting to watch it as things progress.
https://www.vanguard.com.au/personal/pr ... 2/Overview
VVLU Vanguard Global Value Active ETF (Australia)
VVLU Vanguard Global Value Active ETF (Australia)
I studied Physics not Finance, so best to ignore anything I say about money.
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Re: VVLU Vanguard Global Value Active ETF (Australia)
Great to see AUM increasing on VVLU. One of the few value ETF's on the ASX capturing strong returns in the past 12 months.
Must be reducing the risk of it being closed like the equivalent EU fund https://www.etfstream.com/news/vanguard ... etf-range/
Must be reducing the risk of it being closed like the equivalent EU fund https://www.etfstream.com/news/vanguard ... etf-range/
Re: VVLU Vanguard Global Value Active ETF (Australia)
The other active ETFs for Vanguard Australia, don’t look as healthy. I liked the look of VGMF, but maybe the factors of Momentum, Quality/Profitability and Value pulled it in different directions.Hockey Monkey wrote: ↑Sat Jul 17, 2021 6:40 am Great to see AUM increasing on VVLU. One of the few value ETF's on the ASX capturing strong returns in the past 12 months.
Must be reducing the risk of it being closed like the equivalent EU fund https://www.etfstream.com/news/vanguard ... etf-range/
VGMF Global Multi-Factor, AUM = $30M
1 year Total Return = 34.6%
“ The ETF invests in a group of global equity common stocks with the potential to generate higher returns relative to the broad equity market. A rules-based quantitative process is employed to evaluate securities based on the factors:
Momentum- stocks that exhibit strong recent performance.
Quality- stocks that exhibit strong profitability and healthy balance sheets.
Value- stocks with low prices relative to fundamental measures of value.
The portfolio includes a diverse mix of companies representing many different market sectors, industry groups, and countries. ”
VMIN Global Minimum Volatility, AUM = $12M
1 year Total Return = 16.4%
“ The Fund invests primarily in global equities securities, including Australian equity securities, with the objective of providing lower volatility relative to the broad equity market. To reduce volatility, Vanguard constructs a portfolio considering the risk and diversification characteristics of securities in the benchmark and seeks to hedge most of the currency exposure resulting from the Fund’s foreign equity holdings back to Australian dollars.”
I studied Physics not Finance, so best to ignore anything I say about money.
- andrew99999
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Re: VVLU Vanguard Global Value Active ETF (Australia)
People are piling into VVLU after a long initial period of stagnation at an AUM of 20mil.
I wonder if it's temporary while Value is on a bit of a tear.
I wonder if it's temporary while Value is on a bit of a tear.