Is MVS a good ETF?
MVS is the VanEck Small Companies Masters ETF from VanEck. We classify it under AU and Small-Cap. With about $176 million in assets it is a solidly established fund.
On a total-return basis, MVS has delivered 4.85% a year over 10 years (ranked 79th of 108 ETFs we track), 2.54% a year over 5 years (ranked 143rd of 188 ETFs we track), 6.69% a year over 3 years (ranked 157th of 226 ETFs we track), and 2.63% a year over 1 year (ranked 205th 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 0.49% is on the higher side. For comparison, similar ETFs average around 0.34%. If cost is your priority, VSO (0.3%), SMLL (0.39%), and MVE (0.45%) cover similar ground for less. It pays a moderate 2.93% yield.
Over the past 10 years its volatility has been elevated (annualised standard deviation around 17.3%), meaning noticeably larger swings than the broad market. Its 10-year Sharpe ratio of 0.24 is weak — that's the return it has earned per unit of risk taken (higher is better).
Portfolio turnover is modest at about 25% a year — it reshuffles a meaningful but still limited part of the portfolio annually, which keeps the tax and trading drag manageable.
Things to watch
- Has lagged most peers over 5 years (143rd of 188).
- Pricier than similar ETFs, which average around 0.34%.
- Cheaper alternatives exist: VSO, SMLL, and MVE.
- Weak risk-adjusted returns (10-year Sharpe ratio 0.24).
Good to know
- Distributions are 55% franked, a tax bonus for Australian residents.
- Australian focus means franked dividends and no currency risk, but heavy concentration in banks and miners.
What MVS'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.
Smaller companies, which historically carry a long-run 'size premium' alongside greater volatility and lower liquidity.
- Market regime
- Tends to lead early in economic recoveries and falls hardest in recessions and credit crunches, as smaller firms are more economically sensitive.
- In a portfolio
- A long-horizon satellite tilt for extra growth — expect a bumpier ride than large-cap and broad-market funds.
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.