BetaShares, a leading Australian manager of exchange traded funds, has been awarded a ‘Highly Recommended’ rating from Zenith for its Australian High Interest Cash ETF (ASX code ‘AAA’).
The ratings upgrade makes AAA one of only three ETFs currently rated as ‘Highly Recommended’ by Zenith. The fund aims to provide attractive and regular income distributions and a high level of capital security, through investing its assets in bank deposit accounts. AAA is one of the largest ETFs in Australia both by assets and trading volume, with over $750 million in funds under management.
In order to develop its ratings, Zenith reviews a fund manager’s investment process, people and resources, as well as liquidity, fees, performance and the risk associated with the fund. The ‘Highly Recommended’ rating is the highest investment rating able to be awarded by Zenith.
In its review of the fund, Zenith noted that AAA had developed a solid track record of compelling returns for a cash product. The research house also gave positive mentions to the fund’s management costs, transparent structure and high degree of liquidity compared to other cash products.
Alex Vynokur, BetaShares’ Managing Director, said the rating highlighted the benefits the fund could provide investors looking for competitive returns from their cash allocations, without the administration associated with many other cash products on the Australian market.
“We are pleased to see AAA continue to deliver competitive returns on cash without the need for investors to open new bank accounts or lock up cash for extended periods,” said Mr Vynokur. “With the introduction of the best interests duty under FOFA, and in light of the high allocations to cash in SMSF and retiree investment portfolios, we’ve seen significant take up in the BetaShares Cash ETF by financial advisers, who have been able to deliver the ETF’s benefits for their clients.
AAA is now available on most leading platforms including AMP, BT/Asgard, Colonial, Hub24, Macquarie, MLC, Netwealth and OneVue.
AAA is the first BetaShares ETF to be awarded a ‘Highly Recommended’ rating by Zenith. The following BetaShares funds are listed as ‘Recommended’ by the research house:
• BetaShares FTSE RAFI Australia 200 ETF (QOZ)
• BetaShares Australian Top 20 Equity Yield Maximiser Fund (managed fund) (YMAX)
• BetaShares US Dollar ETF (USD)
• BetaShares Gold Bullion ETF – Currency Hedged (QAU)
