iShares unveils two new ETFs

BlackRock has listed the iShares Core FTSE Global Infrastructure (AUD Hedged) ETF (GLIN) and the iShares Core FTSE Global Property ex Australia (AUD Hedged) ETF (GLPR) on the ASX.

At 20 basis point (or 0.20%), iShares says the ETFS are less than half the current management fee of similar ETFs in the Australian market.

The iShares Core FTSE Global Infrastructure ETF is benchmarked to the FTSE Developed Core Infrastructure 50/50 AUD Hedged Index and the iShares Core FTSE Global Property ex Australia (AUD Hedged) ETF (GLPR) is benchmarked to the FTSE EPRA Nareit Developed Ex Australia Rental AUD Hedged Index.

"Australian institutional investors have long considered Global Infrastructure and Global Real Estate core assets for asset allocation purposes because they typically offer consistent income streams, inflation resilience, as well as potential long-term capital appreciation benefits," Jason Collins, deputy head of BlackRock and Head of iShares Australia, said.

BlackRock Australasia head of wealth Chantal Giles said she hoped the lower cost ETFS would allow allocators and advisers more room in their fee budget to include higher cost alpha and alternative strategies.

"BlackRock believes more Australians would benefit from access to financial advice, and today's move by iShares further reduces the input cost in investing which we hope contributes to meaningful growth in the industry," she said.