Sumitomo Mitsui Financial Group (SMFG), one of Japan’s largest banks, is listing an ultra-cheap core Japanese equity ETF in a reminder that Japan’s ETF market is the world’s cheapest.
The SMDAM Topix ETF (2557) will track the Topix, the most famous gauge of Japan’s stock market. It will charge a mere 0.07% a year.
Japan has the cheapest ETF market in the world. Most ETF providers are incumbent asset managers making products for other institutions. One of Japan’s biggest ETF buyers has been the country’s central bank.
SMFG has one other ETF – a Japan REIT tracker, which has US$830 million under management.
Japan’s most expensive core ETF charges 0.11%.
|Inception Date||Ticker||Fund Name||Provider||Fee (%p.a.)|
|Oct. 20, 2015||1475||iShares Core TOPIX ETF||BlackRock Japan||0.06|
|May 15, 2009||1348||MAXIS TOPIX ETF||Mitsubishi UFJ Kokusai Asset Management||0.078|
|Sep. 07, 2015||1473||One ETF TOPIX||Asset Management One||0.078|
|Jan. 09, 2002||1308||Listed Index Fund TOPIX||Nikko Asset Management||0.088|
|Jul. 13, 2001||1305||Daiwa ETF-TOPIX||Daiwa Asset Management||0.11|
|Jul. 13, 2001||1306||TOPIX ETF||Nomura Asset Management||0.11|