VDAL - Vanguard Diversified All Growth Index ETF
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Dona Ferentes
beware the aedes of marsh
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ah, an ETF of ETFs
Dona Ferentes
beware the aedes of marsh
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it just seems to be a copy of the managed fund space, where multi-sector funds of funds were constructed, (at a higher MER) in order to create or satisfy (can't quite work out which) a "one stop shop" that suits/ matches a client risk profile.
meant to make it easy for the professional advisor, and of course wunderbar for the provider as all product is in- house. Keep that clip coming .
How the client benefits is beyond me.
meant to make it easy for the professional advisor, and of course wunderbar for the provider as all product is in- house. Keep that clip coming .
How the client benefits is beyond me.
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if you have an ETF of ETFs, my understanding is that you do pay fees twice ?
Not representative of the actual required management..which is not doubled...
or is the MER advertised the total MER inc subcontracted fees?
Dona Ferentes
beware the aedes of marsh
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if you dug deep, it would probably be wholesale for each fund, with a layer of management for the mothership.
or maybe not... minimal interest from me.
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Nice find thanks and a needed knowledge
No probs. It wasn't difficult as I generally know where to look in the PDS.
It's odd really. When I have been asked about investing in ETF's, I suggest to first read the PDS. Pretty much all the responses I get is they don't have time to do that. At that point I lose interest in assisting and they go off and do whatever.
As to the MER for this ETF, at 0.27% I think it would be close to the average of ETFs involved e.g. Small International has an MER of 0.32%.
I can think of one reason for this ETF. There has been so much written about asset allocation, the inclusion or not of bonds/fixed interest, it becomes a confusing mess for a number of investors particularly for those of whom are just starting out or part way through their journey. For those who don't want bonds, which are included in VDHG, this ETF solves that aspect. It also provides a 40% Home market v 60% broad international split of asset allocation.
Would I invest in this product? At this stage of my life, no. The reality is there is simply insufficient time for it to work.
Could it be of benefit for some in their late 20's or so? Possibly if they don't wish to be bothered with creating their own mix, incurring additional costs and rebalancing. All of which chews up valuable time.
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yes it is truly essential to read the PDS ( and seek expert advice if you have questions )
i also read any white papers attached to see the strategy behind the fund
yes it is hard reading .. but the tiny details can make a difference
arguably those buying this ETF should take the extra time and read the PDS of EACH of the component ETF .
but that seems to be part of the strategy of selling ETFs ( in general ) 'quick , easy and convenient '
it is nice to see Vanguard has averaged the fees into a realistic ask for the package ( some rivals do not seem to do that )
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neither would i , but for a different reason
i don't like the mix of selected ETFs , you have hedged and unhedged versions of the same strategy and a focus on broad-based international indexes which would currently imply increased exposure to the US and EU markets, with a small allocation on 'emerging markets ' where the growth is more likely to be .
which is a strange bias IF the ETF is aimed at the under 50 age range ( or at least i think so )
BUT it will be worth while keeping an eye on Vanguard as they seem to be willing to 'mix and match ' ETFs for smaller target groups , and that in itself may be cost effective for some investors
