ASEA vs IYJ Fund Comparison

A comparison between ASEA and IYJ based on their expense ratio, growth, holdings and how well they match their benchmark performance.

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Minafi's Take on ASEA vs IYJ

Here's an in depth look at the differences between Global X FTSE Southeast Asia ETF ($ASEA) and iShares U.S. Industrials ETF ($IYJ).

To start off, here's a look at the basics of each fund. Keep an eye on the FI Score. That's a custom score from 0 to 100 that we generate based on how good this fund is for the casual investor. Most investors only need a handful of total funds in their portfolio. The higher the score, the more likely this is one of those few. Score alone isn't enough! Keep reading on to see how different (or perhaps similar) these two funds are.

46% FI Score
  • asea
  • ETF
  • International Stocks
  • Asia/Pacific ex-Japan Stock

Global X FTSE Southeast Asia ETF

Expenses: 0.65% (Better than 1% of similar funds)

This is a bad choice for a Asia/Pacific ex-Japan Stock International Stocks fund. See why »

62% FI Score
  • iyj
  • ETF
  • Sector Equity
  • Industrials

iShares U.S. Industrials ETF

Expenses: 0.42% (Better than 1% of similar funds)

This is an OK choice for a Industrials Sector Equity fund. See why »

Both $ASEA and $IYJ are categorized as ETFs. ETFs have an added bonus over mutual funds of being more widely available. Mutual funds are often limited to only the issuing investment brokerage. Since these are both ETFs, you may be able to find these at a wider number of investment apps and websites.

The biggest disadvantage of ETFs is that some platforms only allow you to purchase ETFs in whole shares. So if an ETF is going for $75, you may need to invest in increments of $75. Most 401(k)'s allow for investing down to the penny, but you'll want to verify your platform allows for "fractional ETF Shares".

To learn more about the difference between these two, you can read about the difference between ETFs and Mutual Funds.

When evaluating a fund, the first things I look at are:

  • What it invests in
  • How much it charges in fees
  • How large the fund is

Let's look into these criteria one by one and see if either of these funds stands out.

Fund Holdings Comparison

Minafi's FI Score algorithm takes into account the category and market. The more niche a fund is, the lower the score. This doesn't mean it's a worse fund, but it does mean you should stop and make sure this a fund you need to diversify your portfolio.

ASEA IYJ
Market Score 3.2 /10 8.3 /10
Category Score 5.0 /10 0.0 /10
Total 8.2 8.3

A score of 10 means this is a solid market and category that almost every investor will want to have investments in. The lower the score, the more specific the investment. These scores are based on when most investors would add these funds to their portfolio. A score of 10 means that this fund (or one like it) belongs in a three-fund portfolio. The lower the score, the farther down in your portfolio a fund would go.

For each fund we've created a "diversification score" – a metric to indicate how closely each funds asset allocation matches it's benchmark. For example, an S&P 500 fund would have a diversification score of 10 if it's fully in line with the actual S&P 500.

The diversification score for ASEA is 0.0/10, while IYJ has a diversification score of 0.0/10.

Winner: $IYJ

Fee Comparison

Fees are one of the biggest killers of portfolio growth. The difference between a 2% fee and a 0.04% fee over 30 years can result in your portfolio having half the total value!

If you're just getting started investing and learning how fees impact your portfolio, I'd encourage you to read through my free investment course (specifically '2.2 - All About Fees') where I go over all the different types of fees you can be charged and how to lower them.

For these two funds, ASEA has an expense ratio of 0.65% while IYJ has an expense ratio of 0.42%. In this case, both of these funds have a similar fee.

Winner: $IYJ (barely)

Fund Size Comparison

One place these two funds differ is in their total assets under management. This is a good indication of how many other investors trust this fund. A large fund by itself doesn't mean it's a good fund, but it is one thing to consider when figuring out how to choose the right fund.

In the case of these two funds, ASEA is a small fund with 19.9 Million in assets under management. IYJ, on the other hand, is a large fund with 717 Million in assets under management.

Winner: $IYJ, iShares U.S. Industrials ETF

Which Should You Choose? ASEA or IYJ?

Comparing these two funds isn't an apples to apples comparison. ASEA is a International Stocks Asia/Pacific ex-Japan Stock fund, while IYJ is a Sector Equity Industrials fund.

If you're aiming to build a diversified, low-fee, tax-optimized portfolio you likely won't be choosing between these two funds since they're different enough.

Running both of these funds through Minafi's FI Score algorithm, gives ASEA a score of 46 and IYJ a score of 62.

Winner: Neither, I'd research more funds if you're looking to invest for retirement.

$ASEA

Global X FTSE Southeast Asia ETF

46

Read More
Ratings
Rating Type Rating
Diversification Score 0 /10
Expense Ratio Score 8 /10
Expense Rating 4 /10
Market Score 3 /10
Category Score 5 /10
Overview
Overview Details
Fund Type ETF
Inception Date Feb-16-2011
Exchange NYSE ARCA
Expense Ratio 0.650%
Net Assets 19.9 Million
Yield 3.35%
Holdings
Description Info
Market International Stocks
Category Asia/Pacific ex-Japan Stock
Sectors
  • Basic Materials 4.33%
  • Communication Services 11.63%
  • Consumer Cyclicals 2.54%
  • Consumer Defensive 8.31%
  • Energy 6.66%
  • Financial Services 49.17%
  • Healthcare 3.13%
  • Industrials 4.25%
  • Real Estate 5.25%
  • Technology 0.00%
  • Utilities 4.72%
Regions
  • Asia Developed 30.10%
  • Asia Emerging 69.90%

$IYJ

iShares U.S. Industrials ETF

62

Read More
Ratings
Rating Type Rating
Diversification Score 0 /10
Expense Ratio Score 7 /10
Expense Rating 6 /10
Market Score 8 /10
Category Score 0 /10
Overview
Overview Details
Fund Type ETF
Inception Date Jun-12-2000
Exchange BATS
Expense Ratio 0.420%
Net Assets 717 Million
Yield 1.42%
Holdings
Description Info
Market Sector Equity
Category Industrials
Sectors
  • Basic Materials 2.36%
  • Communication Services 0.20%
  • Consumer Cyclicals 3.55%
  • Consumer Defensive 0.00%
  • Energy 0.00%
  • Financial Services 5.80%
  • Healthcare 0.33%
  • Industrials 70.17%
  • Real Estate 0.00%
  • Technology 17.59%
  • Utilities 0.00%
Regions
  • Asia Emerging 0.16%
  • North America 99.30%
  • United Kingdom 0.54%

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