One fund to rule them all?

[TokyoWart]

according to the MSCI website China is a little over 5% but the eMAXIS fund gives China just 1.4% as share of total index or why the Cayman Islands is so high on the eMAXIS list. Does anyone know what is going on here?

It says in the article:

新興国の中ではケイマン諸島が1位となっていますが、これは事実上、中国企業です。

Although the Cayman Islands are number 1 for emerging markets, in practice they are Chinese businesses.

Maybe eMaxis Slim is doing something strange like buying Cayman-domiciled wrappers of Chinese businesses to avoid regulation/taxes? Or maybe the companies are actually registered there, but MSCI reports them as Chinese.

Thank you for that explanation. That does make sense and I see from a quick internet search that the Cayman islands are a nexus for registering Chinese firms. I'll add this to the list of examples where Japanese disclosures are literally precise where US and EU disclosures go to the underlying substance.

[Remus]

I base this on basic Google translantion, but is this: https://site0.sbisec.co.jp/marble/fund/ ... rch_result what I think it is?

That is:
- A mutual all country index fund (Nikko-Tracers MSCI All Country Index) which tracks the MSCI All Country World Index.
- Introduced on 26 April 2023.
- Fee per year: 0,05775 %

It seems that there is now an exact replica of the eMaxis Slim All-country fund for half the price (0.5775% vs. 0.1144%), and if so, I wonder if this will start a price war leading to index fund fees in Japan ending up on the same low(er) level as the ones in the U.S?

[RetireJapan]

I base this on basic Google translantion, but is this: https://site0.sbisec.co.jp/marble/fund/ ... rch_result what I think it is?

That is:
- A mutual all country index fund (Nikko-Tracers MSCI All Country Index) which tracks the MSCI All Country World Index.
- Introduced on 26 April 2023.
- Fee per year: 0,05775 %

It seems that there is now an exact replica of the eMaxis Slim All-country fund for half the price (0.5775% vs. 0.1144%), and if so, I wonder if this will start a price war leading to index fund fees in Japan ending up on the same low(er) level as the ones in the U.S?

VERY nice find there. Doesn't seem to be available on Rakuten Securities yet.

[beanhead]

I base this on basic Google translantion, but is this: https://site0.sbisec.co.jp/marble/fund/ ... rch_result what I think it is?

It seems that there is now an exact replica of the eMaxis Slim All-country fund for half the price (0.5775% vs. 0.1144%), and if so, I wonder if this will start a price war leading to index fund fees in Japan ending up on the same low(er) level as the ones in the U.S?

Some more details

https://financial.jiji.com/long_investm ... number=347

SBI only at the moment?

[adamu]

Cool. As expected, Shintaro Money has already written about it. Will try to catch up and update the wiki shortly, thanks for bringing it up!

https://shintaro-money.com/world-index-funds/
https://shintaro-money.com/tracers-acwi-launch/

From a quick read it looks like they might be playing some games with what's included in the fees, so it's not currently possible to do a direct comparison.

[adamu]

eMaxis Slim All Country have just lowered their fees to 0.05775％ to match

Quite a few sub-0.2% global fund options now

Interestingly even the SBI V fund that wraps up VT is now cheaper than VT itself, at 0.0638% vs. 0.07%.
edit: this is not the case for the SBI V fund, corrected below.

[TBS]

eMaxis Slim All Country have just lowered their fees to 0.05775％ to match

Fantastic news - long live competition driving down fees

SBI still list eMaxis Slim All Country as paying 0.0415％ points back. Though it is likely that will drop to 0.0175％ shortly in line with the new lower broker's commission, and the points they pay for the competitor 野村－はじめてのNISA・全世界株式インデックス（オール・カントリー）& 日興－Tracers MSCIオール・カントリー・インデックス（全世界株式）funds.

eMaxis Slim All Country total fee (0.05753％) is now ~40% cheaper than eMaxis Slim S&P500 (0.09240%) lol.

[beanhead]

eMaxis Slim All Country have just lowered their fees to 0.05775％ to match

Worth noting that while the All Country is 0.05775％ the S&P500 ｅＭＡＸＩＳ Ｓｌｉｍ 米国株式（Ｓ＆Ｐ５００） is still 0.09372％ (with Rakuten)

[adamu]

eMaxis Slim All Country total fee (0.05753％) is now ~40% cheaper than eMaxis Slim S&P500 (0.09240%) lol.

Worth noting that while the All Country is 0.05775％ the S&P500 ｅＭＡＸＩＳ Ｓｌｉｍ 米国株式（Ｓ＆Ｐ５００） is still 0.09372％ (with Rakuten)

Just like TBS did in the post before yours 6 days ago?

[beanhead]

eMaxis Slim All Country total fee (0.05753％) is now ~40% cheaper than eMaxis Slim S&P500 (0.09240%) lol.

Worth noting that while the All Country is 0.05775％ the S&P500 ｅＭＡＸＩＳ Ｓｌｉｍ 米国株式（Ｓ＆Ｐ５００） is still 0.09372％ (with Rakuten)

Just like TBS did in the post before yours 6 days ago?

ah...reading...it is an underrated skill.