Ex-Japan ETF Delivers 23.22% Gain with 2.96% Yield on Banks, BHP
The iShares MSCI Pacific ex-Japan ETF returned 23.22% over the past year and 6.52% year-to-date while offering a 2.96% dividend yield. With 35% in regional banks and 8.02% in BHP Group, its performance hinges on Asia-Pacific lending margins, commodity cycles and currency movements.
1. Strong Total Returns and Yield
The fund has posted a 23.22% gain over the past year and a 6.52% rise year-to-date, supported by a 2.96% dividend yield. Recent momentum reflects improving sentiment around regional bank earnings and a recovery in commodity demand.
2. Concentrated Portfolio Holdings
Approximately 35% of assets are allocated to major Asia-Pacific banks such as Commonwealth Bank, DBS, NAB, Westpac and ANZ, while BHP Group stands at an 8.02% weighting. The ETF excludes Japan, focusing on Australia, Hong Kong, Singapore and New Zealand.
3. Dividend Income Profile
Distributions are paid semi-annually, with the December 2025 payout at $1.05 per share and the June 2025 payment at $0.86 per share. Dividend amounts fluctuate with underlying company earnings and currency translation, reflecting true business payouts.
4. Risk and Expense Considerations
Key risks include sector concentration in banks and materials, unhedged currency exposure against the US dollar and variable income streams. The ETF charges a 0.47% expense ratio and maintains about 10% annual turnover, helping to limit tax drag in taxable accounts.