Top 3 Markets:

1. USA: approx. 60%
2. Europe: approx. 20%
3. Japan: approx. 10%

Sector Distribution:

• Technology: approx. 25%
• Healthcare: approx. 15%
• Finance: approx. 15%
• Consumer Goods: approx. 12%
• Industrials: approx. 10%
• Other Sectors: Remaining share

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) is broadly diversified and invests in a variety of international markets, with the majority of revenues coming from the USA. The technology sector is leading, followed by healthcare and finance, reflecting global trends in these sectors. The exact distribution may vary depending on market developments and ETF rebalancing.

Production: Not applicable

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) is an exchange-traded fund (ETF) and not a company that manufactures physical products.

This ETF invests in a diversified portfolio of international stocks included in the MSCI World ex-Australia Index. As it is a financial product, there are no production facilities or physical production involved. The fund is managed by Vanguard, one of the largest asset managers globally.

Current Net Asset Value (NAV): 98.50 AUD (2025) Current Fund Size: 3.2 billion AUD (2025)

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) follows a passive investment strategy aiming to replicate the performance of the MSCI World ex-Australia Index (hedged to AUD). This strategy involves broad diversification across international markets, with currency risk minimized through hedging to AUD.

For future growth, the ETF focuses on continuously expanding its global diversification and optimizing currency hedging to provide investors with stable returns. Vanguard also emphasizes cost efficiency to keep the total expense ratio low, benefiting investors.

Additionally, Vanguard plans to strengthen awareness of the benefits of passive investment strategies through education, potentially leading to increased investor interest and fund growth.

Imported Raw Materials/Materials: No specific raw materials

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) is an exchange-traded fund that invests in international stocks while hedging currency risks. As a financial product, the ETF itself does not import physical raw materials or materials. Instead, it invests in a diversified portfolio of international companies operating in various sectors.

However, the companies in which the ETF invests may import raw materials and materials from different countries, depending on their respective industries and business activities. Since the ETF is globally diversified, it includes companies from various countries and sectors that may import commodities such as metals, energy, agricultural products, and more. The specific raw materials and countries of origin would depend on the individual business activities of the companies included in the ETF.

Competitive Advantage: Moderate to High

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) provides investors with access to international stock markets with currency hedging, making it attractive to investors looking to hedge against exchange rate risks.

Vanguard has a strong competitive advantage due to its size and its cost-effective investment products. The low management fees compared to other providers are a significant advantage that sets Vanguard apart from many competitors. Additionally, Vanguard benefits from its established brand and the trust it enjoys from investors worldwide.

Another advantage is the diversification that VGAD offers, as it invests in a variety of international stocks, reducing the risk for investors. The currency hedging is an additional feature that is particularly valuable during times of currency fluctuations.

Institutional Investor Share: Estimated at about 70% (2025)

Insider Buys/Sells: No significant insider transactions known (2025)

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) is a popular investment instrument mainly held by institutional investors. These investors appreciate the diversification and currency hedging provided by the ETF.

Insider transactions are uncommon with ETFs as they do not have traditional company structures with insiders such as executives or board members. Therefore, there are usually no relevant data on insider buys or sells for ETFs like VGAD.

Market share of Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD): Estimate: 5-7% (2025)

Main competitors and their market share:

1. iShares MSCI World ETF (ASX:IHWL): 8-10%
2. SPDR MSCI World Quality Mix Fund (ASX:QMIX): 6-8%
3. BetaShares Global Sustainability Leaders ETF (ASX:ETHI): 5-6%
4. VanEck Vectors MSCI World ex Australia Quality ETF (ASX:QUAL): 4-5%
5. Vanguard MSCI Index International Shares ETF (ASX:VGS): 4-5%

Economic moat and competitive advantages:

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) offers a solid economic moat through its cost-effective structure and currency hedging, which is attractive to many investors. This hedging is a significant advantage over some competitors that do not offer currency hedging.

However, some competitors, like the iShares MSCI World ETF, have a larger market share and also provide broad diversification and low costs. The competitive advantage of VGAD mainly lies in its specific investment strategy and the strong Vanguard brand.

Overall, the economic moat of VGAD is moderate compared to the leading ETFs. The market is highly competitive, and many ETFs offer similar benefits, intensifying the competition. The success of VGAD heavily depends on investors' preference for currency hedging.

Managed Assets: approximately 4.5 billion AUD (2023) Annual Expense Ratio: 0.21% (2023) Diversification: Over 1,500 international stocks

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) offers broad diversification across international markets, reducing the risk of individual market fluctuations. Currency hedging protects investors from exchange rate risks, which is particularly advantageous when the Australian dollar is volatile.

The annual expense ratio of 0.21% is relatively low, making the ETF a cost-effective way to invest in international markets. The managed assets of about 4.5 billion AUD demonstrate investors' confidence in this ETF.

Overall, the VGAD ETF could be a good investment for investors seeking diversified international stock exposure while minimizing exchange rate risks. However, investors should consider their individual investment goals and risk tolerance.

Dividend Yield: 2.1% (2024)

The Vanguard MSCI Index International Shares (Hedged) ETF (ASX:VGAD) regularly pays out dividends. The distributions typically occur quarterly and are relatively reliable, as the ETF invests in a broad range of international stocks that themselves pay dividends.

The ETF's dividend yield was recently around 2.1%. However, this number can slightly vary depending on market developments and currency hedging. Vanguard is known for its stable dividend policy, making the ETF an attractive choice for investors aiming for both capital growth and regular income.