iShares Core S&P/ASX 200 ETF (IOZ)

About this Fund

Fund Detail

PDS https://informedinvestor.com.au/view/pds/100938-2023-10-26-02:33.pdf
FUND MANAGER BlackRock Investment Management (Australia)
INVESTMENT STYLE The Fund invests in a portfolio composed of the 200 largest Australian securities listed on the ASX.
INVESTMENT PROFILE The Fund aims to provide investors with the performance of the Benchmark, before fees and expenses.
BENCHMARK S&P/ASX 200 Accumulation Index
FUND SIZE S&P/ASX 200 Accumulation Index
NO. OF HOLDINGS Around 200
FEES 0.05% p.a.



Benefits of iShares

iShares ETFs are managed funds listed or quoted on exchanges (including ASX) providing you with the opportunity to gain exposure to a diversified portfolio of assets in a single transaction.

The significant benefits of investing in the Funds include:

  • low cost access to diversified portfolios of Australian shares;
  • access to market capitalisation weighted, high dividend, minimum volatility and multiple-factor exposures; and
  • benchmarked to institutional-quality indices provided by leading index providers.

Other benefits of investing in iShares ETFs generally include:

  • Diversification: In contrast to a direct investment in a single company or bond, an iShares ETF provides, as far as possible and practicable, exposure to all of the securities or instruments within the index that the particular iShares ETF seeks to track.
  • Access global markets: iShares ETFs let you achieve international diversification by investing in overseas equity and bond markets. With iShares ETFs you can gain exposure by asset class, market capitalisation, country and sector.
  • Liquidity and transparency: Each iShares ETF seeks investment results that correspond generally to the performance (before fees and expenses) of a particular index. As a traded security, an iShares ETF enables you to enter and exit your holding on the ASX. You can easily track performance and trade during ASX trading hours (subject to ASX rules).
  • Managing risk: Investing in an iShares ETF can assist you in establishing a portfolio appropriate to your investment needs and risk profile.
  • Lower cost: As each iShares ETF is passively managed and designed to track the performance of a particular index, the expenses of managing an iShares ETF are generally lower compared to other forms of retail managed funds. However, brokerage or adviser fees may still apply when buying or selling units of an iShares ETF.
  • Receipt of income: You will generally receive income from your investment in the form of distributions. Distributions may include dividends, coupons and other income. There may be years in which no distributions are made.
  • Accessibility: iShares ETFs can offer a cost-effective way to gain exposure to a diversified portfolio of securities. They can be less costly than purchasing a large number of individual securities as there are less trading costs and they offer lower thresholds than an investor might otherwise be able to afford.




Key Features

About the Fund

The fund aims to provide investors with the performance of an index, before fees and expenses, composed of the 200 largest Australian securities listed on the ASX.

The index, the S&P/ASX 200 Accumulation Index, covers a significant proportion of the market capitalisation of the Australian equity market. It is representative, liquid and tradable and is widely considered to be Australia's preeminent benchmark index.

Why IOZ?

  1. Low cost access to the 200 largest companies on the ASX in a single fund 
  2. Exposure to the leading index of broad Australian equities 
  3. Use at the core of your portfolio for your essential domestic allocation


How we invest your money

The Fund seeks to achieve its objective by tracking the performance of the S&P/ASX 200 Total Return Index (referred to as the Index).

We believe that a full replication investment strategy is the most appropriate investment strategy to track the performance of the Index as risk relative to the Index is minimised. Our full-replication approach normally aims to purchase every security in the Index, while considering transaction costs.

What does the Fund invest in?

The Fund generally invests in the Australian equity securities that form the Index.

Generally, the Fund may also hold a small allocation of cash (or cash equivalents, that may include other BlackRock Group funds) for cash flow management purposes.

About the Index

The Index is recognised as the institutional investable benchmark in Australia. Index constituents are drawn from eligible companies listed on the Australian Securities Exchange. The Index is designed to measure the performance of the 200 largest index-eligible stocks listed on the ASX by float-adjusted market capitalisation. Representative, liquid, and tradable, it is widely considered Australia's preeminent benchmark index.

The S&P/ASX Index series is calculated using a base-weighted aggregate methodology. This means that the level of an index reflects the total market value of all the component stocks relative to a particular base period.

For more information please see Section 3 of the PDS