Investment
Exchange Traded Funds (ETFs)
What is an ETF?
An Exchange Traded Fund (ETF) is a diversified portfolio of securities constructed using an index approach that can be readily traded on the Australian Securities Exchange (ASX).
Investors in Vanguard ETFs own a share of a portfolio of listed securities, indexed by Vanguard. As an index manager Vanguard’s aim is to deliver the index return, before fees, by building investment portfolios using similar assets and weightings as the benchmark index - we don’t try to pick winners from losers. This means an ETF’s returns, before costs, should closely match the index it tracks, just like a traditional index managed fund.
Vanguard ETFs deliver two sets of benefits to investors - the trading speed and flexibility of shares merged with the low cost, diversification of index funds. This has made ETFs one of the fastest growing investment solutions in the world today, with hundreds of billions of dollars now invested globally using ETFs.
Benefits of Vanguard ETFs
Vanguard ETFs offer the following benefits:
- Index investing with the trading and pricing flexibility of individual shares
- Ability to buy and sell throughout the trading day
- Option to use in a margin lending portfolio
- A unique product structure that utilises our existing index funds to offer a range of advantages including a proven track record, lower costs and tighter tracking because of the funds size.
Other investment styles:
For investments up to $500,000, please look at our Managed funds up to $500,000. Looking to invest more than $500,000? View our Managed funds over $500,000.
More on ETFs
- Announcements
- PDS & Prospectus
- Prices
- Performance
- Distributions
- Reports
- Register your interest
- Download a brochure
Knowledge Centre
- What are ETFs?
- How do ETFs work?
- Choosing between ETFs and traditional index funds
- Using ETFs in investment portfolios
- Trading in ETFs
- Vanguard’s ETFs for Australian investors
Exchange Traded Funds (ETFs) at a Glance*
* Information correct as of Apr 15 2009.