Betashares has launched its latest investment products, the Wealth Builder Funds, now trading on the ASX. These funds provide investors with an opportunity to enhance their wealth through a moderately geared strategy that manages the borrowing within the fund itself. This means that investors can benefit from the potential of higher returns without the direct financial burden of personal loans.
The first of these, the Wealth Builder Australia 200 Geared Fund, tagged with the ASX code G200, offers investors exposure to the broad Australian sharemarket. With a loan-to-value ratio (LVR) between 30-40%, this complex ETF aims to harness the underlying market’s growth potential while mitigating the risks associated with higher leverage.
Similarly, the Wealth Builder Diversified All Growth Geared Fund, listed as GHHF on the ASX, employs the same LVR range. This fund diversifies its holdings across a variety of Australian and international equities, aiming to capture growth across multiple sectors and geographies.
The introduction of these funds addresses a gap in the market for investors seeking higher returns through leverage but who may be apprehensive about the complexities and risks of borrowing. By centralising the gearing obligations within the funds themselves, Betashares simplifies the investment process and potentially broadens the appeal of leveraged investments.
These funds are accessible through various platforms including their own Mobile App for Australian users and brokers, ensuring that investors can engage with them through their preferred financial services provider.
As the financial landscape evolves, tools like the Wealth Builder Funds by Betashares play a pivotal role in providing innovative solutions for building long-term wealth. By leveraging the power of the sharemarket through these carefully constructed funds, investors are equipped to potentially accelerate their financial growth in a structured and less burdensome manner.
