In a review of Market Vectors Australia’s latest ETF launch, AltaVista said property ETFs are expected to deliver the highest yields in 2014, with yield forecasts for the three property ETFs on the ASX reaching 5.63 per cent.
In comparison, AltaVista looked at three ASX200-focused ETFs and said they were forecast to deliver a yield of just 4.47 per cent, while four listed high-yield ETFs were forecast to deliver 5.15 per cent.
“In relation to yield, the Australian ETF marketplace offers some broad alternatives,” AltaVista head of sales and corporate development Michael Turner said.
“Property ETFs, on average, are forecast to deliver the highest yield in 2014, followed by financial sector ETFs and then the high-yield funds.”
Market Vectors listed its ETFs on the ASX last month and they are based on indices specifically developed by Market Vectors Index Solutions (MVIS), the parent company of Van Eck Global.
Mr Turner said that because the Market Vectors ETFs track a purpose-built indices, they deliver different investment outcomes.
“Our products compare well to their peers, based on the superior diversification opportunities they offer and their competitive pricing,” said Market Vectors Australian managing director Arian Neiron.
“The launch of our Australian Property ETF is well timed, with strong yields predicted in 2014 and the ETF offering balanced exposure to Australia’s blue-chip property market.”
