Bell Global Emerging Companies Fund (Class A) Active ETF (B1SM) — Review & Analysis

B1SM is Bell Asset Management's first ASX-listed product, with $177 million in assets as at May 2026 — making it one of the fastest debut raises of 2026. Bell launched B1SM on 30 March 2026, listing a 30+ year unlisted institutional strategy in ETF format. The fund focuses on global emerging companies — defined as small- and mid-cap stocks in developed markets with strong growth fundamentals. The management fee is 1.34% per annum plus performance fees, putting B1SM clearly in active premium-fee territory.

To compare B1SM side-by-side with every other ETF on the ASX, see the full ETF directory.

B1SM's portfolio targets 40-60 global emerging companies — typically in technology, healthcare, consumer discretionary and financial services. The strategy systematically avoids the largest 100 global companies (Microsoft, Apple, Nvidia etc.) which are already well-represented in VGS and IVV. Bell's unlisted version has delivered strong long-term outperformance versus MSCI World Mid Cap Index — though small/mid-caps have been a difficult space since 2022.

B1SM pays distributions annually. At 1.34% MER plus performance fees, the total expense ratio in strong years could exceed 2.5% — significantly higher than passive global ETFs. The trade-off: in periods where active small/mid-cap selection beats passive, the excess returns typically exceed the fee. Bell's track record in the unlisted version supports the thesis but past performance is no guarantee.

B1SM is a high-conviction satellite for investors who specifically want active global small/mid-cap exposure in ETF wrapper. For passive small-cap exposure at a fraction of the cost, AVSV (Avantis Global Small Cap Value at 0.45%) covers similar territory. The active vs passive debate in small caps is more nuanced than in large caps — small-cap markets have historically been less efficient, giving active managers more opportunity for genuine alpha. See Active vs passive ETFs — the data that settles the debate.