Is XX20 a good ETF?
XX20 is the First Sentier ex-20 Australian Share Fund Active ETF. We classify it under AU and Active. With about $223 million in assets it is a solidly established fund.
On a total-return basis, XX20 has delivered -2.34% a year over 5 years (ranked 183rd of 188 ETFs we track), 0.32% a year over 3 years (ranked 220th of 226 ETFs we track), and -25.11% a year over 1 year (ranked 303rd 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 0.75% 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, MQAE (0.03%), IOZ (0.05%), and VAS (0.07%) cover similar ground for less. It pays a low 1.4% yield, so most of its return must come from capital growth.
Over the past 5 years its volatility has been elevated (annualised standard deviation around 21.78%), meaning noticeably larger swings than the broad market.
Portfolio turnover is moderate at about 38% a year — a fair chunk of the portfolio is bought and sold each year, so expect a little more in the way of realised capital gains and trading costs than a plain index fund.
Things to watch
- Has lagged most peers over 1 year (303rd of 308).
- A 0.75% management fee is high and compounds against you over time.
- Pricier than similar ETFs, which average around 0.49%.
- Cheaper alternatives exist: MQAE, IOZ, and VAS.
Good to know
- Low 1.4% yield — this is a growth-oriented fund, not an income play.
- 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 XX20'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.
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.