EWA VS FAUS: A Comprehensive Comparison of ETFs
Exchange-Traded Funds (ETFs) have transformed the investment landscape, offering investors diverse exposure to various sectors and asset classes. In this article, we will conduct an in-depth comparison between two prominent ETFs: EWA (iShares MSCI Australia ETF) and FAUS (First Trust Australia AlphaDEX Fund). We'll explore key aspects such as ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure.
EWA VS FAUS: Overview
EWA and FAUS are two ETFs that offer distinct investment strategies centered around the Australian market. While EWA aims to track the performance of the MSCI Australia Index, FAUS employs a unique approach by using the AlphaDEX methodology to select and weight stocks from the NASDAQ AlphaDEX Australia Index. These differing strategies result in varying exposures and potential returns, which we will delve into further in the subsequent sections.
EWA VS FAUS: Sectors and Top Holdings
The EWA ETF provides exposure to a broad range of sectors within the Australian equity market, including financials, materials, and healthcare. Its top holdings include companies like CSL Ltd, Commonwealth Bank of Australia, and BHP Group. FAUS, on the other hand, employs a factor-based strategy to select stocks with potentially higher returns, and its top holdings encompass stocks like Reece Ltd, Appen Ltd, and IPH Ltd. Understanding the sectors and top holdings of each ETF aids investors in aligning their investment objectives with the ETF that suits their preferences.
EWA overlap EWA VS FAUS: A Comprehensive Comparison of ETFs
EWA VS FAUS: Capitalization and Strategy
EWA boasts a considerable Asset Under Management (AUM), reflecting its popularity among investors seeking exposure to the Australian equity market. Its strategy involves tracking the MSCI Australia Index, aiming to mirror the performance of the broader Australian market. FAUS employs a different approach by utilizing a rules-based methodology that considers growth and value factors to select and weight stocks. This strategy introduces a potential for enhanced returns but also entails specific risks associated with factor-based investing.
EWA VS FAUS: Tracking and Exposure
EWA seeks to closely replicate the performance of the MSCI Australia Index, providing investors with exposure to the Australian equity market's overall movements. FAUS, with its AlphaDEX methodology, aims to outperform traditional market-cap-weighted indices by selecting stocks based on specific factors and characteristics. These distinct tracking and exposure strategies enable investors to tailor their portfolios to their risk tolerance and investment goals.
Conclusion
EWA and FAUS represent two unique approaches to investing in the Australian equity market. For investors seeking a comprehensive understanding of the holdings, correlations, overlaps, and other valuable insights, ETF insider serves as an invaluable tool. With its user-friendly app, ETF insider empowers investors with detailed information on these ETFs and other financial instruments.
Disclaimer: This article is not intended to provide investment advisory services.
Sources:
iShares MSCI Australia ETF (EWA) official website
First Trust Australia AlphaDEX Fund (FAUS) official website
EWA ETF issuer
EWA ETF official page
EWA quote and analysis
Discover the top holdings, correlations, and overlaps of ETFs using our visualization tool.
Our app allows you to build and track your portfolio.
To learn more about the EWA iShares MSCI Australia ETF, access our dedicated page now.