New Avantis worldwide ETF with value tilt

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superjames1992
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Re: New Avantis worldwide ETF with value tilt

Post by superjames1992 »

thegasmaster wrote: Tue Sep 20, 2022 5:28 pm The SEC has a prospectus for AVGE as of today.

https://sec.report/Document/0001710607-22-000234/
I wish they went with global cap weighting, they still have a slight US tilt. Nevertheless, I am tempted to change my equity portfolio to 100% of this fund still. Hmm.

It won’t be eligible for the foreign tax credit, right? Or is that different because it’s a fund of funds?
Last edited by superjames1992 on Thu Sep 22, 2022 10:47 pm, edited 1 time in total.
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asset_chaos
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Re: New Avantis worldwide ETF with value tilt

Post by asset_chaos »

So they're charging 5 bp above the underlying funds' fee and waiving 2 bp for a year for total cost of 25 bp (23 bp for a year). 5 bp extra isn't too bad; though 0 bp extra would have been better. I'm mildly curious about the 2 bp fee waiver. It seems too small to be an effective marketing tool; why do it at all?
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DaufuskieNate
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Re: New Avantis worldwide ETF with value tilt

Post by DaufuskieNate »

asset_chaos wrote: Thu Sep 22, 2022 6:54 pm So they're charging 5 bp above the underlying funds' fee and waiving 2 bp for a year for total cost of 25 bp (23 bp for a year). 5 bp extra isn't too bad; though 0 bp extra would have been better. I'm mildly curious about the 2 bp fee waiver. It seems too small to be an effective marketing tool; why do it at all?
I believe it's to be a little lower than DFA's similar mutual fund product.
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vineviz
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Re: New Avantis worldwide ETF with value tilt

Post by vineviz »

superjames1992 wrote: Thu Sep 22, 2022 6:08 pm It won’t be eligible for the foreign tax credit, right? Or is that different because it’s a fund of funds?
It should be eligible since all of the underlying funds which contain international stocks are eligible.
"Far more money has been lost by investors preparing for corrections than has been lost in corrections themselves." ~~ Peter Lynch
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asset_chaos
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Re: New Avantis worldwide ETF with value tilt

Post by asset_chaos »

DaufuskieNate wrote: Thu Sep 22, 2022 7:00 pm
asset_chaos wrote: Thu Sep 22, 2022 6:54 pm So they're charging 5 bp above the underlying funds' fee and waiving 2 bp for a year for total cost of 25 bp (23 bp for a year). 5 bp extra isn't too bad; though 0 bp extra would have been better. I'm mildly curious about the 2 bp fee waiver. It seems too small to be an effective marketing tool; why do it at all?
I believe it's to be a little lower than DFA's similar mutual fund product.
Good call; that makes sense. For DGEIX, DFA says expenses are 44 bp, but they waive 19 to get the investor cost to 25 bp. More competition to drive investor costs down, huzzah.
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superjames1992
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Re: New Avantis worldwide ETF with value tilt

Post by superjames1992 »

vineviz wrote: Thu Sep 22, 2022 8:01 pm
superjames1992 wrote: Thu Sep 22, 2022 6:08 pm It won’t be eligible for the foreign tax credit, right? Or is that different because it’s a fund of funds?
It should be eligible since all of the underlying funds which contain international stocks are eligible.
Ah okay, because it’s a fund of funds? That does make it more tempting. Hmm. I still don’t like how they aren’t using global market cap weights, though. Going to be a tough decision. I do like the simplicity of one fund as it might help me to avoid unhelpful tinkering.
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