Is MVW a good ETF?
MVW is the VanEck Australian Equal Weight ETF from VanEck. It tracks the MVIS Australia Equal Weight Index. We classify it under AU and Factor. With about $3.31 billion in assets it is a large, highly liquid fund. Listed on the ASX since 2014-03-04 (over 12 years ago).
On a total-return basis, MVW has delivered 8.3% a year over 10 years (ranked 61st of 108 ETFs we track), 7.35% a year over 5 years (ranked 96th of 188 ETFs we track), 7.49% a year over 3 years (ranked 149th of 226 ETFs we track), and 1.64% a year over 1 year (ranked 227th of 308 ETFs we track).
The management fee of 0.35% is reasonable. For comparison, similar ETFs average around 0.34%. If cost is your priority, A200 (0.04%), IOZ (0.05%), and VAS (0.07%) cover similar ground for less. It pays a moderate 3.4% yield.
Over the past 10 years its volatility has been moderate (annualised standard deviation around 14.11%), meaning the kind of swings you'd expect from a diversified equity fund. Its 10-year Sharpe ratio of 0.48 is weak — that's the return it has earned per unit of risk taken (higher is better).
Portfolio turnover is modest at about 20% a year — it reshuffles a meaningful but still limited part of the portfolio annually, which keeps the tax and trading drag manageable.
Strengths
- Low-cost: a 0.35% management fee keeps more of the return in your pocket.
Things to watch
- Pricier than similar ETFs, which average around 0.34%.
- Cheaper alternatives exist: A200, IOZ, and VAS.
- Weak risk-adjusted returns (10-year Sharpe ratio 0.48).
Good to know
- Distributions are 75% franked, a tax bonus for Australian residents.
- Australian focus means franked dividends and no currency risk, but heavy concentration in banks and miners.
What MVW'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.
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.
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.