VanEck lowers management costs for CETF
VanEck has announced lower management costs for its Vectors ChinaAMC CSI 300 ETF (CETF) and said they have been reduced from 0.72 per cent to 0.6 per cent per annum.
In the company’s view, the change would allow investors to benefit from the opportunities and diversification potential offered by China’s onshore equity market, at a lower cost, the firm said.
At the same time, the adviser’s fee would remain unchanged.
Additionally, interest expense incurred by the fund from today until at least 1 May 2020 would be a capped expense included in management costs and not an additional uncapped transactional and operational cost, the firm said.
VanEck’s managing director and head of Asia Pacific, Arian Neiron, said that foreign investment into China was growing as local policymakers decided to gradually openi up the onshore market.
“China’s contribution to global gross domestic product is now comparable to the US, but may be underrepresented in many investors’ portfolios,” he said.
“We believe that attractive valuations and stimulus-driven growth should provide opportunities for investors going forward.”
AUTHOR
Oksana Patron
Recommended for you
Lonsec and SQM Research have highlighted manager selection as a crucial risk for financial advisers when it comes to private market investments, particularly due to the clear performance dispersion.
Macquarie Asset Management has indicated its desire to commit the fast-growing wealth business in Australia by divesting part of its public investment business to Japanese investment bank Nomura.
Australia’s “sophisticated” financial services industry is a magnet for offshore fund managers, according to a global firm.
The latest Morningstar asset manager survey believes ETF providers are likely to retain the market share they have gained from active managers.
