To diversify your ETF portfolio - personally I’d typically end up with lots of US and European ETFs, and little else. Just to name one, Warren Buffet has recently purchased lots of stocks in Japan!
This ETF has super low ongoing charges: only 0.09%
It has 5/5 stars as a Morningstar rating
It is characterized by a Sustainability rating above average:
The fund size is large, contributing to making it liquid, and the top 5 sectors are pretty diversified: Industrials (19%), Consumer cyclical (18%), Technology (16%), Healthcare (15%), and Communication services (10%)
Not to mention… quite satisfying historical gains: check it out yourself!
Source: Morningstar
As much as it might be good to have the ETF on the platform, I wouldn’t consider investing in it unless you know something we don’t. The Nikkei has historically traded sideways, if you invested 5 years ago, you wouldve made just 50% gains with dividends reinvested. There are better ETFs! For example the S&P 500 has double those returns in 5 years.
Hi @Corlys,
Thanks for your feedback.
I’m sure there are more profitable ETFs, but with respect to those tracking the S&P 500, I’d mention that such an index measures the performance of US-listed companies.
So again, if I wanted to diversify geographically (picking Japan in this case), keeping an eye on factors such as Sustainability, Fund size, Sector diversity, etc., I would still be very keen to be able to invest in the Xtrackers Nikkei 225 UCITS ETF 1D (GBP)!
What’s wrong with the Vanguard or iShares Japan ETF? They’re pretty cheap exposure to the Japan index, and are weighted by market cap. I don’t know the details of this ETF but if it tracks the Nikkei225 I’d avoid as the weighting on that is illogical as it links to price and not market cap.
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