According to BetaShares, the local ETF industry reached an all-time high market capitalisation of $78.7 billion in November. This is up from $73.8 billion a month earlier.
Unsurprisingly, this growing popularity has led to an increasing number of ETFs for investors to choose from.
But which ones should you buy? Among the many options, here are two ETFs that come highly rated:
BetaShares Asia Technology Tigers ETF (ASX: ASIA)
The BetaShares Asia Technology Tigers ETF allows investors to buy a slice of the biggest and brightest technology and ecommerce companies in Asia. BetaShares notes that through a single trade, this ETF provides diversified exposure to a high-growth sector that is under-represented in the Australian share market.
At present, there are a total of 50 companies included within the ETF. Among these you will find giants such as Alibaba, Baidu, JD.com, and Tencent Holdings. The latter is the company behind the hugely popular WeChat app, which has over 1.2 billion users. It is also a substantial shareholder of buy now pay later company Afterpay Ltd (ASX: APT).
Another very popular ETF from BetaShares is the BetaShares NASDAQ 100 ETF. This ETF aims to track the performance of the NASDAQ 100, which comprises 100 of the largest non-financial companies listed on Wall Street's famous exchange.
Among these 100 companies you will find household names such as Amazon, Apple, Microsoft, Netflix, and Google parent, Alphabet. In addition to this, the fund gives investors exposure to non-tech shares including Pepsico, Starbucks, and Tesla.
BetaShares notes that the ETF has a strong focus on technology, which once again gives diversified exposure to a high-growth potential sector that is under-represented in the Australian share market.