EMS
Posted: July 21st, 2023, 1:03 pm
Hi,
Should I take account of the EMS for a ETF when building my portfolio?
Background: Almost 2 years ago I switched from Investment Trusts to a simple ETF portfolio. My reason for doing so was the signs that IT's were losing more than ETF's in a downturn. I have since become aware that my holdings are above the EMS, for example, the last time that I looked VWRL had an EMS of 700. I was looking to change the holdings to be within the EMS and I can do this by adding the likes of VEVE and reducing the portfolio % held in each holding. However, one of my favoured ETF's is JGRE which has an EMS of only 368 which is currently about £11,500 whereas I would like to hold more than that.
Note from HL website: The EMS or exchange market size is the minimum number of shares that a market maker is obliged to quote a firm two way price on the trading system. This does not ensure the price is equal to the market quoted price at that time.
Should I take account of the EMS for a ETF when building my portfolio?
Background: Almost 2 years ago I switched from Investment Trusts to a simple ETF portfolio. My reason for doing so was the signs that IT's were losing more than ETF's in a downturn. I have since become aware that my holdings are above the EMS, for example, the last time that I looked VWRL had an EMS of 700. I was looking to change the holdings to be within the EMS and I can do this by adding the likes of VEVE and reducing the portfolio % held in each holding. However, one of my favoured ETF's is JGRE which has an EMS of only 368 which is currently about £11,500 whereas I would like to hold more than that.
Note from HL website: The EMS or exchange market size is the minimum number of shares that a market maker is obliged to quote a firm two way price on the trading system. This does not ensure the price is equal to the market quoted price at that time.