How many ETFs are in Australia?

Australia boasts a diverse range of ETFs, offering investors exposure to various asset classes, including equities, bonds, and commodities. As of the latest data (https://www.asx.com.au/issuers/investment-products/asx-funds-statistics), there are over 300 ETFs listed on the Australian Securities Exchange (ASX), providing ample choices for investors with different risk appetites and investment goals.

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What exchanges are they listed on?

Most Australian ETFs are listed on the ASX and Cboe, the primary stock exchanges in Australia. They provide a transparent and regulated platform for investors to buy and sell ETF shares throughout the trading day. By clicking on an ETF’s code in the Webull App, investors can easily access information about these ETFs, including historical performance, fees, and holdings.

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Do they only include Australian stocks?

While there are ETFs that specifically focus on Australian stocks, the Australian market also offers a wide range of international ETFs. These funds provide exposure to global markets whilst still trading on Australian exchanges. This allows investors to diversify their portfolios beyond the boundaries of the Australian market. Whether an investor seeks to invest solely in the local market or wishes to explore international opportunities, there is likely an ETF that aligns with their preferences.

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How do ETFs Differ from other Financial Products?

ETFs are separated from other instruments by their structure and the way they are traded. For instance, although they are a basket of stocks like a mutual fund, they are traded on stock exchanges as though they are individual stocks. They differ from superfunds as they are not managed by professional fund managers and do not have access restrictions. And they differ from individual shares as ETFs represent a group of shares, diversifying the risk across a larger number of assets.

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How is an ETF created?

An ETF is created through a regulated process that needs collaboration between Regulators, a Market Participant, and an ETF Provider. The Participants (typically large financial institutions) assemble a portfolio of securities (known as the basket) and exchanges the basket with the ETF provider in exchange for ETF shares. This all must be done according to ASICs guidelines and requires strict legal scrutiny before the final product is made available to the open market.

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References

https://www.listcorp.com/asx/etfs