SPDR International Equity ETFs Report Asset Growth and Benchmark Alignment

Consistent Returns Across Diverse Global Equity ETFs

State Street Global Advisors’ SPDR International Equity ETFs continued their steady march in the 2026 financial year, delivering returns closely aligned with their respective benchmarks. The six funds, spanning carbon aware, quality mix, global dividend, and ESG real estate strategies, reported operating profits ranging from $4.2 million for the Emerging Markets Carbon Aware ETF to over $61 million for the World ex Australia Carbon Aware (Hedged) ETF.

Net assets expanded across the board, with the SPDR S&P World ex Australia Carbon Aware ETF swelling from $452.7 million to $761.6 million and the Dow Jones Global Real Estate ESG Tilted ETF growing to $527.2 million. This growth was supported by strong application inflows and disciplined portfolio management.

Key Holdings and Portfolio Composition

The funds maintain concentrated exposures to leading global technology and real estate companies. Notably, the S&P World ex Australia Carbon Aware ETF holds a 7.2% stake in NVIDIA Corp and a significant position in Taiwan Semiconductor Manufacturing, which represents 15.7% of the Emerging Markets Carbon Aware ETF. The Dow Jones Global Real Estate ESG Tilted ETF’s top holdings include Prologis Inc and Welltower Inc, each accounting for over 7% of the fund.

Investment strategies remain index-tracking, with the funds replicating benchmarks like the MSCI World Factor Mix A-Series Index and the S&P Global Dividend Aristocrats Index. The hedged World ex Australia Carbon Aware ETF employs foreign currency contracts to mitigate AUD exposure, reflecting a sophisticated approach to currency risk management.

Risk Management and Market Sensitivities

State Street’s risk framework encompasses market price fluctuations, foreign exchange volatility, credit exposures, and liquidity considerations. The funds’ sensitivity analyses reveal potential net asset swings of up to 19% linked to price risk, with interest rate and currency risks exerting more modest impacts.

Foreign exchange hedging is particularly prominent in the Hedged ETF, which held foreign currency contracts with a notional value exceeding $437 million. The fund’s hedging strategy effectively manages currency fluctuations, although unrealised losses on these contracts were noted at year-end.

Distributions and Unitholder Activity

Distributions to unitholders increased in several funds, with the Emerging Markets Carbon Aware ETF paying out $2.24 million (207.66 cents per unit) and the World ex Australia Carbon Aware ETF distributing $45.8 million (300.06 cents per unit). These distributions reflect a blend of income and realised gains, supporting investor income expectations.

Unit applications outpaced redemptions, fueling net asset growth. The MSCI World Quality Mix ETF saw applications of nearly $98 million against redemptions of $5.3 million, while the Global Dividend ETF recorded net inflows of approximately $70 million.

Governance and Audit Assurance

State Street Global Advisors, Australia Services Limited continues as the Responsible Entity, with directors Matthew George, Kathleen Gallagher, and newly appointed Meaghan Victor overseeing operations. The funds operate under established mandates with capped management fees ranging from 0.06% to 0.34% per annum.

Ernst & Young’s independent audit delivered an unqualified opinion, confirming compliance with Australian Accounting Standards and the Corporations Act 2001. The audit highlighted no material misstatements or significant post-reporting events, reinforcing confidence in the funds' governance and financial reporting.