If you're wanting to add a little exposure to international markets to your portfolio, then the simplest way to do this is by investing in exchange traded funds (ETFs).
This is because there are ETFs out there that give investors access to whole indices, sectors, themes, and countries.
Two which I think are good options for investors wanting to invest in international shares are listed below:
BetaShares Asia Technology Tigers ETF (ASX: ASIA)
The BetaShares Asia Technology Tigers ETF could be a great option for investors looking for exposure to the Asian market. This ETF aims to track the performance of an index comprising the 50 largest technology and ecommerce shares in Asia (excluding Japan). This includes the likes of Alibaba, Tencent, Baidu, and JD.com.
BetaShares notes that the ETF provides investors with diversified exposure to a high-growth sector that is under-represented in the Australian share market. Given how these companies are rapidly changing the lives of billions of people in the region, I believe the fund is well-placed to generate strong returns over the next decade and beyond.
BetaShares NASDAQ 100 ETF (ASX: NDQ)
But if you're more interested in gaining exposure to the U.S. share market, then you might want to consider the BetaShares NASDAQ 100 ETF. This fund gives investors access to the 100 largest non-financial shares on the famous NASDAQ index. This means investors will be buying a piece of household names such as Amazon, Apple, Facebook, Netflix, and Starbucks through just a single investment.
Given the positive long term outlooks of many of the companies on the index, I believe the BetaShares NASDAQ 100 ETF could provide stronger returns than the ASX 200 over the next decade. This has certainly been the case over the last five years, with the ETF generating an average return of 20.54% per annum.
