Is BEAR a good ETF?
BEAR is the BetaShares Australian Equities Bear Complex ETF from BetaShares. We classify it under AU, Geared, and Active. With about $30 million in assets it is a relatively small fund (worth checking spreads and liquidity before buying).
On a total-return basis, BEAR has delivered -7.47% a year over 10 years (ranked 108th of 108 ETFs we track), -4.3% a year over 5 years (ranked 186th of 188 ETFs we track), -4.26% a year over 3 years (ranked 226th of 226 ETFs we track), and -1.14% a year over 1 year (ranked 266th of 308 ETFs we track). It has trailed most comparable ETFs over the periods we measure, so look closely at whether its strategy fits what you're after.
The management fee of 1.48% is high, which is common for active, geared or thematic strategies and only worth paying if the approach justifies it. For comparison, similar ETFs average around 0.49%. If cost is your priority, BBOZ (1.29%) cover similar ground for less. It pays a low 0% yield, so most of its return must come from capital growth.
Over the past 10 years its volatility has been moderate (annualised standard deviation around 13.22%), meaning the kind of swings you'd expect from a diversified equity fund.
Portfolio turnover is very low at about 0% a year — the portfolio barely changes from year to year, much like a classic buy-and-hold index fund. Very little of its return is lost to trading or to capital gains being realised early, making it highly tax-efficient.
Things to watch
- Has lagged most peers over 10 years (108th of 108).
- A 1.48% management fee is high and compounds against you over time.
- Pricier than similar ETFs, which average around 0.49%.
- Cheaper alternatives exist: BBOZ.
Good to know
- Low 0% yield — this is a growth-oriented fund, not an income play.
- Built on borrowed money (geared), which magnifies both gains and losses — a tactical tool, not a buy-and-hold core.
- Australian focus means franked dividends and no currency risk, but heavy concentration in banks and miners.
What BEAR's categories mean for you
How each category this ETF belongs to tends to behave across market cycles.
Australian shares. Home-market familiarity, fully franked dividends and no currency risk for local investors — but very concentrated in banks and miners, which dominate the index.
- Market regime
- Sensitive to commodity prices, Chinese demand and domestic interest rates. Generous income, but narrow sector diversification.
- In a portfolio
- A natural core for Australian investors thanks to franking, but should be paired with global exposure so you aren't over-reliant on a handful of banks and resource giants.
Uses borrowing (leverage) to amplify the return of the underlying assets — magnifying both gains and losses. Internally geared funds remove the margin-call risk but not the volatility.
- Market regime
- Amplifies whatever the market does. In choppy, sideways markets 'volatility decay' steadily erodes returns even if the index ends up flat.
- In a portfolio
- A tactical, short-to-medium-term tool for experienced investors — explicitly not a buy-and-forget holding. Fees are high and the ride is extreme.
Actively managed: a portfolio manager hand-picks holdings trying to beat the index, rather than simply tracking it. You pay more in fees for the chance of outperformance.
- Market regime
- Can add value in volatile, falling or inefficient markets where stock-picking and downside protection matter. In long, broad bull markets most active funds struggle to keep up with the cheap index after fees.
- In a portfolio
- Only worth holding if you have genuine conviction in the strategy — decades of evidence show the majority of active funds underperform their benchmark over 10+ years once fees are counted.
General information only, generated from the fund's published data — not personal financial advice. Past performance is not a reliable indicator of future returns. Consider your own circumstances or seek licensed advice before investing.