I would love to get everyone’s input on
XDEB Vs MINV
and
G500 Vs XDPG
These funds are very similar and i believe all are physical etfs other than g500. There TER’s vary as while having close performance to each other.
Are lower fees better? Are more assets under-management better? should synthetic etfs be avoided if another is so similar even if it means higher fees?
I would love to hear peoples perspective on this as well as what might make them chose one over another for their portfolios.
Hi there @Spear
Personally I don’t invest in any of those particular ETFs, but when I selected the ones I wanted, I paid attention to fees and AUM.
Lower fees the better for me when using ETFs that track a market index such as the S&P 500.
The higher the AUM the better for me. It’s improves liquidity and bid/ask spreads will be lower.
This should all help increase returns a tad. Have a read of John Bogle’s book - The Little Book of Common Sense Investing.
As for physical vs synthetic; I don’t really know about the risks and opportunities with synthetic so personally prefer physical because at least that way I know that the funds actually holds the assets in the portfolio instead of using derivatives and swaps etc…
Hope this is helpful
I wonder if IE would be able to include info about whether an ETF is physical or synthetic in a way that’s easy to display/sort by. I know it’s possible to find out by looking it up or digging into the KIID, but it would be nice to see it at a glance