Exchange-traded funds are currently popular in South Africa. One of the possible reasons for that could be the low cost, diversity, and ease with which they can be traded. They provide an easy way to own assets ranging from local shares to international funds, commodities, and specialized indices. In this piece, we will examine the top 10 ETFs in South Africa, considering their performances throughout various time intervals.
- 1nvest S&P 500 Info Tech ETF (ETF5IT)
More specifically, this one seeks to target the technology sector in the S&P 500. It has been a solid field year on year, with the major tech giants fueling this growth. However, the fund witnessed a minor drop of -0.23% in the past week but has generally remained strong with a 1.28% return over the past 3 months. The 1-year return of 47.03% shows how tech stocks can be very effective even under turbulent market conditions. Besides, it has gained 25.49% over 3 years and 29.01% over 5 years, which speaks further about long-term growth in this space. Year to date, it is up 12.07%.
- 1nvestGold ETF (ETFGLD)
It allows investors to explore the ancient safe-haven asset of gold. This asset is a good hedge against inflation and adverse currency movements, making it worth it in a diversified portfolio. However, it has depreciated 2.14% over the past week but posted an excellent 3-month return of 11.07%. That indicates a flow by investors toward gold because of market uncertainties. The one, three, and five-year overall returns are 15.03%, 17.94% & 17.80%, respectively. This indicates good consistency in the ETF. Year-to-date, this fund is up about 11.50%, which bodes well for gold.
- NewGold ETF (GLD)
Like the 1nvestGold ETF, this is a way to ensure an investor can hedge against market volatility. This case has shown an excellent 3-month return of 11.04% despite the weekly fall of -2.14%. It returned 15.02 percent over the past year. On the other hand, it stands at 17.92 and 17.79 percent for the three and five years, respectively. This makes it a reliable asset in the short run and long term. YTD, the fund is up by 11.46%, thus giving a positive indication for the remaining period of the year.
- Krugerrand Custodial Certificate (KCCGLD)
This has clocked in an excellent 3-month return of 10.97% but has declined weekly by -2.01%. Over a year, it has returned 16.15%; in the three years, it stands at 18.40%. Over five years, this comes in at 18.07%. Those figures show that Krugerrands has been an excellent recent investment. The fund has shown a year-to-date return of 11.39%.
- Satrix MSCI China ETF (USTXCN)
It is up very strongly by 2.43% over the previous week, and the 3-month return is awe-inspiring at 18.81%. The fund value has been eroding for the past year by -0.56%; the issues that might contribute to this could be the economic impact of the pandemic and the ongoing geopolitical tensions. The 3-year return is to the negative, at -9.52%, which could probably be a chance of an entry. The fund is up 9.88% yearly, suggesting a positive trend for the current year.
- 1nvest Rhodium ETF (ETFRHO)
The fund is all about investing in the price of rhodium. This precious metal is significantly used in the auto industry for its anti-corrosive properties. The ETF has notched up a 4.99% return over three months, with this week reflecting a -0.90% drop. Over the last year, this fund has significantly declined at -44.05%; possibly, the automotive industry is experiencing decreased demand. The 3-year return also clocks in at a negative return of -40.56%, but the 5-year return is positive at 14.75%, indicating that long-term growth may yet be there. Year-to-date, the fund is up by 9.68%.
- 1nvest S&P 500 Index Feeder ETF (ETF500)
It had a slight decline of -1.14% this week. However, over 3 months, it slightly increased by 1.37%. Over the year, it has shown an excellent gain of 28.29%. The fund’s past performance exhibits a 17.60% and 18.98% return over 3 years and 5 years, respectively. YTD, the fund has risen by 9.27%.
- Satrix MSCI India Feeder ETF (STXNDA)
This will afford an investor the performance of the Indian equity market. Due to its fast-growing economy, the space offers an unbeatable investment opportunity. The ETF has decreased by -1.03% weekly but has seen a slight 2.37% increase during the last 3 months. The performance of this option in the previous year has been exceedingly fine, returning 33.46%. That performance has been reasonably robust, indicative of the possible growth the Indian market could contain. It is up 9.17% year to date.
- Satrix S&P 500 (STX500)
It’s off weekly by -1.12% but nudges higher in 3 months by 1.47%. However, it has done quite well over the year, with a return of 28.36 percent. Over three and five years, it has returned 17.74 & 19.07%, respectively. Thus, this testifies to the consistent performance of US equities. For the current year, year to date, it is 9.09% up.
- Sygnia Itrix S&P 500 ETF (SYG500)
This has also decreased by -1.12% weekly but has a marginal increase of 1.47% over 3 months. It has been solid in giving a good return this year, up 28.28%. Over the last 3 and 5 years, it gave returns of 17.61% and 18.93%, respectively, showing the long-term growth of US equities. This year, it is 9.07% higher.
In conclusion, these ETFs bring diversified investment opportunities, from sector-specific funds to those tracking foreign indices. These include offerings designed to expose investors to gold, technology, China, India, and the S&P 500. Thus, there is an ETF for everyone. But, of course, like any investment, you want to do some of your research and know your risk profile.