Sector Exchange Traded Funds (ETFs)

There are both conventional sector ETFs and synthetic sector ETFs available for investors to choose from with coverage of some of the biggest companies in a specific sector such as Listed Property or Resources for example from either a domestic or global perspective. Sector ETFs can also assist investors build their portfolios to allow for increased exposure to certain industries while still achieving a broad diversification across companies.

The range of conventional and synethetic domestic and international sector ETFs available to trade on ASX offered by Australian Index Investments (Aii),  iShares and State Street Global Advisers amongst others.

The table below lists the ASX code of each sector ETF and its respective underlying strategy.

ASX Code ETF Name Sector Exposure
ENY  Aii S&P/ASX 200 Energy Energy  The energy ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 200 Energy Index  
FIN 

 

Aii S&P/ASX200 Financials 

 Financials  The financials ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 200 Financials Index
FIX  Aii S&P/ASX 200 Financial x- A-REITS

Financials excluding

Listed Property

The financials ex Listed Property ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 200 Financials x-A-REIT Index
IDD  Aii S&P/ ASX 200 Industrials Industrials   The industrials ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 200 Industrials Index   
IXI iShares S&P Global Consumer Staples Consumer Staples The Consumer Staples ETF provides broad -based exposure to the worlds leading providers of consumer staples such as Procter & Gamble, Nestle and Unilever
IXJ iShares S&P Global Healthcare Healthcare The Healthcare ETF provides diversified exposure to global manufacturers of medical supplies, healthcare providers and biotechnology companies such as Johnson & Johnson and GlaxoSmithKline
IXP Global Telecommunications Telecommunications The Telecommunications ETF provides exposure to the world's largest suppliers of telecommunications such as Vodafone and Telefoonica SA
MAM  Aii S&P/ASX 300 Metals and Mining  Metals & Mining   The metals and mining ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 300 metals and mining Index  
RSR  Aii S&P/ASX 200 Resources Resources The resource ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 200 Resource Index
SLF   SPDR S&P ASX 200 A-REIT Fund  Listed Property  

The listed property ETF seeks to closely track, before fees the returns and characteristics of the

S&P/ASX 200 A-REIT (property) Index
VAP Vanguard Australian Properties Securities Index ETF Listed Property The listed property ETF seeks to closely track, before fees the returns and characteristics of the S&P/ASX 300 A-REIT (property) Index

Market Making

ASX offers a Market Making  (MM) incentive scheme to promote tighter spreads and more liquidity in the ETF (Exchange Traded Funds) and ETC (Exchange Traded Commodity) markets. Market Makers receive Trading and Clearing Fee incentives from ASX when achieving minimum quoting benchmarks on a monthly basis. Each ETF / ETC is assigned a spread and liquidity requirement. 

The table found in the following PDF (82KB) shows the Market Makers that have signed incentive contracts with ASX and the revelant ETF/ETCs as at  December 8th, 2010.