I haven’t seen much discussion about this, but noticed them when perusing some PDS’s. The headliner is that they both have fees of 0.15%, lower than everyone else’s equivalent offerings in the Australian market:
Global listed infrastructure:
| Provider | Ticker | Fees* | AUD Hedged? |
|---|---|---|---|
| BlackRock | GLIN | 0.15% | Yes |
| VanEck | IFRA | 0.31% | Yes |
| Vanguard | VBLD | 0.48% | No |
Global listed property:
| Provider | Ticker | Fees* | AUD Hedged? |
|---|---|---|---|
| BlackRock | GLPR | 0.15% | Yes |
| VanEck | REIT | 0.30% | Yes |
| State Street | DJRE | 0.54% | No |
* Total estimated fees, as taken from most recent PDS for each product at time of posting. Includes management fees (including indirect costs if broken down separately), plus transaction costs.
VanEck already recently reduced the fees on their two offerings a lot, but now BlackRock is half of that again.
Since it’s listed (not unlisted) infra / property there’s less diversification benefit, but hey it’s being offered for cheap now.
Are they making bank on the hedging ???
The hedging cost should be part of the fee?
No idea , woukd be nice to know. Are there unhedged funds from them with low fees?
Based on my recollection of the PDS (remember that I read these 4 months ago), the cost of hedging is built into the fee shown in my table.
Afaik they’re not currently offering an unhedged version of these ones. The cost of hedging is pretty small in absolute terms though, for Blackrock’s other stuff I think it’s around 0.03% difference between the hedged/unhedged.
