Investing internationally can increase your diversification and give access to industries and companies not available in Australia. After all, Australia represents less than 2% of the total world sharemarket.
Vanguard's Index International Shares Fund invests in most of the securities in the index providing maximum diversification and lower risk than many funds. Because the fund is unhedged the fund achieves currency diversification as well.
Who it may suit
- long term investors (usually seven years plus)
- investors seeking long-term capital growth
- investors using a core/satellite strategy seeking an index fund for the core of their international shares portfolio
- self managed super funds
- higher income earners using a gearing strategy
- those wanting to add diversification by investing overseas
Objectives
To match the total return of the MSCI World ex-Australia Index (with net dividends reinvested) in AUD before taking into account fund fees and expenses
Benefits
| Diversification and long-term capital growth potential |
|
| Access investment opportunities not available in Australia |
|
| Unhedged currency exposure |
|
| Low scaled fees |
|
| Regular savings plan |
|
Investment requirements and fees
| Minimum investment amounts | |
| Initial investment |
$5,000
|
| Additional investment by cheque |
$1,000
|
| Additional investment by BPAY® |
$100
|
| Holding balance |
$3,000
|
| Switch/withdrawal |
$1,000
|
| Buy/sell spread | |
| Purchase |
+0.30%
|
| Withdrawal |
-0.10%
|
| Management costs | |
| For the first $50,000 |
0.90% p.a.
|
| For the next $50,000 |
0.60% p.a.
|
| Balance over $100,000 |
0.35% p.a.
|
Risk/return profile
At Vanguard, we believe it's just as important to understand the risks and costs of investing, as it is to know about the rewards.
Our risk/return profiler illustrates the expected risk level and potential return for the Vanguard Index International Shares Fund based on historical data. It's important to remember that past performance is no guarantee of future performance and return profile of each fund may vary from year to year.






