Welcome to Issue 5 of Exchange Traded Fridays for the week ending 20th August 2021. EDIT: Back on board for getting this out at the usual 730am morning delivery! Update on the hand, the fracture is healing although it has been fun learning how to do things with my off-hand. Definitely requires patience but a great learning experience! This week in local news we saw discussions on reporting season with ways to look at ETFs during this time as well as some new ETF listings coming to market. We also added a new mini-feature to compare ETFs to the website so check that out too. Globally, we saw articles highlighting the growth of ETFs over other mutual funds and potential benefits of bitcoin ETFs whenever they get to list. Check all this out and more in this weeks edition.
What's in this newsletter?
Listen or Watch
Articles - Local
Articles - Global
Chart of the week
Listen or Watch Before we go further, if you'd prefer to consume all this content in more convenient forms of media, we've launched The ETFtracker Show as a podcast and video and Exchange Traded Fridays comes at the end of each week. Additionally, we've launched a series of interviews with various ETF market participants.
You can also access the podcast directly on our website here: https://www.etftracker.com.au/podcasts
The Weekly Wrap
Articles - Local
ETFtracker blog - A new ETFtracker resource - Google Finance Comparisons - In this article we show users a new feature on the ETFtracker app which enables the comparison of ETF prices in a more frequent manner and better yet, has done the work to group similar types of ETFs so you can more easily see what your options are for those exposed to China, technology, healthcare, ESG and more.
SAFAA Newsroom - Exploring ETF trends - 17th August - This article from the Stockbrokers and Financial Advisers Association (SAFAA) was actually written by us and goes through how we use data to come up with compelling and interesting insights in the ETF markets. It was a pleasure to pull this together and share with the SAFAA audience and you definitely need to check out more of their newsroom articles for your reading list. Financial Standard - ETF Securities to list pure play Hydrogen ETF - Another one from Kanika this time talking about the upcoming new hydrogen themed ETF being offered by ETF Securities alongside another focused on Semiconductors. AFR - ETFs are the best way to capture clean energy sector gains - another great article from Jonathan Porter at the AFR on ESG type ETFs. Mentioned ETFs include IMPQ, CLNE as 2 ways to play the clean energy thematic. Financial Standard - Best-performing global equities funds for FY21 - In this article, Kanika Sood from the Financial Standard goes through the various top performing managed funds here in Australia and 2 of the top 10 funds were from ETF Issuers (BetaShares and Fidelity). Check out the article for who else was in the top list. ETF Securities - ETF Monitor - w/e 13th August - Top of the pops was a 4 way tie with FOOD, OZF, QFN and MVB at 3.2% last week. Worst was ETPMAG (the silver ETF) falling 6.6%. AFR - Lithium play grows on the market - article that looks at the ACDC ETF (ETF Securities Battery Tech & Lithium ETF) which looks at companies up and down the battery supply chain. With the demand for clean energy it seems worth a look. ETF Securities Australian ETF Landscape H2 2021 - Detailed compendium of an ETF report from the team at ETF Securities. As you can see from the contents page below, it covers a lot of different ETF categories and proves to be a great companion to better understand what different ETFs are about in a snapshot.
Articles - Global Bloomberg - Why Cathie Wood Took Her ARKK ETF’s China Stock Exposure to Zero - government intervention in Chinese companies has led to the flagship ARKK fund having no exposure to the Asian giant, but is it for good? Financial Times - The Age of ETFs is Looming - An FT Opinion Markets Insight article from the acclaimed Robin Wigglesworth. In this article he goes through a variety of facts and figures showing that the new world of investing will be less about mutual funds and more about ETFs. The era of the ETF is dawning. ETF Stream - A breakdown of global quality ETFs as investors plan for ‘new normal’ - In this article from the team at ETF Stream its about factors, namely the Quality factor as a way to avoid the pendulum swings between Value and Growth. They show quality has outperformed the others and a couple of global ETFs you can play to get quality exposure. Back home in Australia there are a few such as QUAL, QHAL, QLTY, QMIX, HQLT. ETF Stream - Are blockchain ETFs the answer for non-correlation? This article looks at whether blockchain related ETFs are not just useful to ride the wave of popularity but also could be useful as a non-correlated long-term play in your portfolio. Bitcoin as diversification sounds interesting.
The Compound - Ethereum to $5,000 | What are your thoughts? - In this episode, Josh and Mike cover a variety of market actions including the rise of active ETF conversions as well as how the current bull run in markets is the fastest in recorded history (see image below which is featured in the show). 50mins
ausbiz - Are investors too overexposed to China? 18th August - In this episode, Kanish Chugh of ETF Securities talks about the overexposure to Chinese markets and for investors where else they can look across Asia and Indian ETFs are worth a look. 5mins
ausbiz - The ETF investor's guide to August reporting season - 17th August - in this episode, Nadine from ausbiz chats with Blair Modica of BetaShares as he goes through what to look out for as an ETF investors in this current reporting season. From dividends to interest rates and commodity prices. Check it out. 5mins
ausbiz How to invest in commodities amid signs of weakness in Chin - 16th August - James Whelan from VFS Group talking about the recent delta variant in China and tempered growth expectations in the US and what that means for commodities. Invest in ETFs and avoid stocks. 9mins
ETFtracker - Interviews with Experts - Episode 1 - In this new series of interview also on the ETFtracker podcast, we chat with Adam Montana from Altus Financial and learn more about the wealth advisers view of the how ETFs can help clients. Also available on YouTube. 25mins
ASX - The Ideas Exchange - Invest in the Future: Games and eSports - In this episode, Martin Dinh of the ASX chats with Damon Gosen of VanEck about the eSport and video gaming industry. VanEck has a specific fund for this (ticker ESPO) and its attracted over $100 million in assets since launch in late 2020. Check out the show for more insights. 25mins
Let's Talk ETFs - How Government Crackdowns In China Are Affecting ETFs - In this chat, the team at Seeking Alpha chats with the CIO/Founder of UPHOLDINGS to discuss the impact of Chinese government crackdowns on tech companies and what it means for investors. 37mins
Shares for Beginners - Weekend Watchlist - Gemma Date, Reporting Season - In this episode, Phil Muscatello chats with Gemma Dale from nabtrade (trading platform from NAB). they talk about the current reporting seasons including stocks CBA, RIO, FMG, APT & Square. 13mins
Tweet of the week
This one is from Mike Akins at ETF Action looking at the ETFs holding Xpeng, the Tesla rival. Check out this and Mike's other tweets at https://twitter.com/etfAction/status/1427966508446126088
Chart of the Week - ASX total FUM growth to July 2021
This chart shows that total Funds Under Management (FUM) growth for the whole Australian ETF market is now $118.7 billion. This comes as the latest Chi-X numbers came out late last week which gives us the full picture of Australian ETF growth. At this pace of growth, by years end we'll be somewhere between $130-140 billion in market size.
Further ETF Education
Rask Australia - Ethical Investing 101 - This course from the folks at Rask is all about helping you better understand ethical investing and knowing the differences between things like ethical investing versus socially responsible and impact investing. There's about 19 topics in this course and its free so well worth checking out
We have the main ETFtracker App you can access (below) as well as holdings analysis apps for ETFs from iShares, BetaShares and State Street. See the main ETFtracker app here: https://www.etftracker.com.au/the-app
If you're not already a member of the ETFtracker Forum then please sign up - you can access conversations and share ideas amongst peers for free. Sign up is free: https://www.etftracker.com.au/forum
In the forum we've started getting a few messages about portfolio reviews as well as reviews of individual ETFs and have been using the data insights from the ETFtracker app to answer some of these. For example, we showed via the forum an animated image of how to use the comparison feature to look at property related ETFs (you can check out the full post here: https://www.etftracker.com.au/forum/portfolios-and-etf-analysis/djre-analysis-request
ETFtracker Socials - YouTube, Spotify, Instagram, Twitter, TikTok
We're on a few platforms (some more than others) so look up ETFtracker on your favourite platform for more.
Below is an example of our last YouTube video covering the last newsletter.