Is BEST a good ETF?
BEST is the ETFS US Quality ETF. We classify it under Intl, Thematic, Quality, Factor, and US. With about $20 million in assets it is a relatively small fund (worth checking spreads and liquidity before buying).
On a total-return basis, BEST has delivered 10.25% a year over 1 year (ranked 126th of 308 ETFs we track).
The management fee of 0.29% is reasonable. That's cheaper than the typical 0.45% for similar ETFs. If cost is your priority, QMIX (0.18%) cover similar ground for less. It pays a moderate 3.36% yield.
Strengths
- Low-cost: a 0.29% management fee keeps more of the return in your pocket.
Things to watch
- Cheaper alternatives exist: QMIX.
- Highly concentrated single-theme bet — keep the position size small.
What BEST's categories mean for you
How each category this ETF belongs to tends to behave across market cycles.
Global and international shares from outside Australia — broadening you into thousands of companies and the sectors (tech, healthcare) the local market lacks.
- Market regime
- Essential diversification away from the bank-and-resources-heavy ASX. Unhedged versions carry currency risk; hedged versions remove it at a small cost.
- In a portfolio
- A core holding for almost every long-term Australian portfolio.
A concentrated bet on a single trend — AI, battery tech, cybersecurity, robotics and the like. High conviction, high concentration, and often high fees.
- Market regime
- Frequently launched after a theme is already hot, which has historically been a poor entry point. Expect very large swings in both directions.
- In a portfolio
- A small satellite position at most. Treat it as a speculative tilt, never as a core holding.
Companies with strong balance sheets, stable earnings and high return on equity. A defensive-leaning factor that tends to compound steadily.
- Market regime
- Holds up comparatively well in downturns and uncertain markets; can lag during sharp 'junk rallies' off market bottoms when the riskiest stocks surge.
- In a portfolio
- A reliable long-term core or tilt for investors who prize resilience and steady compounding.
Tilts toward academically-backed drivers of return — value, quality, momentum, size or low volatility — aiming to beat plain market-cap weighting over a full cycle.
- Market regime
- Any single factor can underperform the broad market for years before rewarding patient holders. Multi-factor funds smooth this out somewhat.
- In a portfolio
- A long-term tilt that demands discipline: the edge only shows up if you hold through the inevitable lean stretches.
US-listed companies — the world's deepest, most innovation-heavy market and home to the mega-cap tech names. Has led global returns for over a decade.
- Market regime
- Strong leadership has left valuations high and the index heavily concentrated in a handful of tech giants. Unhedged funds also rise and fall with the AUD/USD exchange rate.
- In a portfolio
- A legitimate core holding for global exposure, but be aware you are buying after a long run of outperformance and at elevated valuations.
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.