BetaShares Australian Resources Sector ETF (ASX: QRE) is trading for $8.98 per unit on Thursday, down 0.8%.
This exchange-traded fund (ETF) provides broad exposure to ASX mining shares at a time when many major commodities are soaring.
Strong commodity prices led to the ASX 200 materials sector topping the 11 market sectors for capital growth last year.
The S&P/ASX 200 Materials Index (ASX: XMJ) rose by 31.71% and produced total returns, including dividends, of 36.21%.
In the first week of 2026, many ASX mining shares are resetting their 52-week highs as metal and mineral prices continue their run.
The big ones to watch are gold, silver, copper, and lithium, which have clocked 12-month gains of 66%, 160%, 36%, and 77%, respectively.
By investing in the QRE ETF, you are buying exposure to 43 ASX shares.
It's heavily weighted to diversified miner BHP Group Ltd (ASX: BHP), whose share price has lifted 20% over the past 12 months.
BHP, which has exposure to iron ore and copper and is the largest miner on the ASX, makes up 34% of QRE's investments.
QRE is also invested in gold, copper, lithium, mineral sands, rare earths, and alumina producers.
When we think about the 'resources sector', the mind naturally goes to ASX mining shares. But this ASX ETF is broader than that.
QRE ETF also holds a significant number of ASX energy stocks, including oil & gas producers, as well as uranium and coal miners.
Woodside Energy Group Ltd (ASX: WDS) is the fund's third-largest holding at 6.4%.
ASX utilities share Origin Energy Ltd (ASX: ORG) is also in the mix at 2.8%.
The ASX ETF pays distributions, or dividends, twice per year.
The management fee is 0.34% per annum, which is one of the lowest on the market.
Say you bought QRE ETF a year ago.
While ASX mining stocks have done well since then, energy shares have struggled.
So, how has this investment turned out for you?
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What is your investment worth now?
On 8 January 2025, the QRE ETF closed at $6.73 apiece.
If you had put $10,000 into the QRE ETF then, it would have bought you 1,485 units (for $9,994.05).
There's been a capital gain of $2.25 per unit since then, which equates to $3,341.25 worth of capital growth.
Thus, your BetaShares Australian Resources Sector ETF holdings are now worth $13,335.
In terms of distributions, the QRE ETF paid 10.1811 cents per unit in July and will pay 10.6539 cents per unit on 19 January.
Altogether, that is just over $309 in annual income from your 1,485 QRE ETF units.
Miners and energy producers tend to pay fully-franked dividends, so the average franking on this ETF is high at 88%, amplifying your yield.
Total returns for the QRE ETF…
Your capital gain of $3,341.25 plus your distributions of $309 gives you a total return in dollar terms of $3,650.25.
Now remember, you invested $9,994.05 purchasing QRE ETF on 8 January last year.
This means you have received a total return, in percentage terms, of 36.5%.
While that's a 'wow' of a return, we must remember that mining and energy shares are volatile in nature.
We can see this in the long-run average annual total return after fees for this ASX ETF.
Since inception on 10 December 2010, QRE ETF has delivered an average annual total return after fees of 4.85%.
