Australasia Equity

Australasia equity mutual funds and ETFs own securities listed on stock exchanges... Australasia equity mutual funds and ETFs own securities listed on stock exchanges of Australia, New Zealand, and Papua New Guinea. The most well-known indexes are the ASX 200 and the NZX 50, which are market capitalization-weighted indexes comprising stocks in Australia and New Zealand respectively. Australasia equity mutual funds and ETFs tend to have very large weightings in financials and materials. Some of the largest companies include Xero, Fisher and Paykel Healthcare, BHP Group, and Commonwealth Bank of Australia. These funds may be passively or actively managed. They may also leave currency exposure unhedged, or choose to protect the portfolio from swings in the value of the Australian and New Zealand Dollars (or the Kina, which is the currency of Papua New Guinea). Australasia equity mutual funds and ETFs are appropriate for conservative investors, as both Australia and New Zealand are developed market economies. One notable risk, however, is that the Australasian region is heavily dependent on trade with China. As a result, a material slowdown in China could negatively affect these funds. Last Updated: 04/19/2024 View more View less

Australasia equity mutual funds and ETFs own securities listed on stock exchanges of Australia, New Zealand, and Papua New Guinea. The most well-known indexes are the ASX 200 and the NZX 50, which... Australasia equity mutual funds and ETFs own securities listed on stock exchanges of Australia, New Zealand, and Papua New Guinea. The most well-known indexes are the ASX 200 and the NZX 50, which are market capitalization-weighted indexes comprising stocks in Australia and New Zealand respectively. Australasia equity mutual funds and ETFs tend to have very large weightings in financials and materials. Some of the largest companies include Xero, Fisher and Paykel Healthcare, BHP Group, and Commonwealth Bank of Australia. These funds may be passively or actively managed. They may also leave currency exposure unhedged, or choose to protect the portfolio from swings in the value of the Australian and New Zealand Dollars (or the Kina, which is the currency of Papua New Guinea). Australasia equity mutual funds and ETFs are appropriate for conservative investors, as both Australia and New Zealand are developed market economies. One notable risk, however, is that the Australasian region is heavily dependent on trade with China. As a result, a material slowdown in China could negatively affect these funds. Last Updated: 04/19/2024 View more View less