Is LPHD a good ETF?
LPHD is the Loftus Peak Global Disruption Hedged Active ETF. We classify it under Intl, Growth, and Active. With about $278 million in assets it is a solidly established fund.
On a total-return basis, LPHD has delivered 23.01% a year over 3 years (ranked 19th of 226 ETFs we track) and 18.86% a year over 1 year (ranked 54th of 308 ETFs we track). Its strongest showing is over 3 years, where it sits in the top 8% of all ETFs we track.
The management fee of 1.2% 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 0.55%. If cost is your priority, HYGG (0.7%) cover similar ground for less. It pays a high 6% yield — generous income, but check it isn't a sign of a narrow or higher-risk portfolio. Bear in mind distributions are taxed each year at your marginal rate, so a high yield is less tax-efficient for higher earners and during the accumulation phase.
Over the past 3 years its volatility has been elevated (annualised standard deviation around 19.93%), meaning noticeably larger swings than the broad market. Its 3-year Sharpe ratio of 0.94 is reasonable — that's the return it has earned per unit of risk taken (higher is better).
Strengths
- Top-8% returns over 3 years (19th of 226 ETFs we track).
- High 6% income yield — good for investors who want regular cash flow.
Things to watch
- A 1.2% management fee is high and compounds against you over time.
- Pricier than similar ETFs, which average around 0.55%.
- Cheaper alternatives exist: HYGG.
- That income is taxed yearly at your marginal rate, so it's less efficient for higher earners.
What LPHD'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.
Companies expected to grow earnings quickly, which typically reinvest profits rather than pay dividends. Low yield, higher volatility, valuation-driven.
- Market regime
- Shines when interest rates are low or falling and risk appetite is high. Hit hardest when rates rise, because more of their value sits in distant future earnings.
- In a portfolio
- Long-horizon growth engine for investors who can stomach deeper drawdowns and little income along the way.
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.