If you’re looking for an easy way to invest in international shares for diversification, then exchange traded funds (ETFs) could be the answer.
But which ETFs should you look at? Here are two popular ETFs that could be worth getting better acquainted with:
BetaShares Asia Technology Tigers ETF (ASX: ASIA)
The first ETF to look at is the BetsShares Asia Technology Tigers ETF. It gives investors exposure to 50 of the largest technology and ecommerce companies that have their main area of business in Asia.
Among the 50 companies you’ll be owning a slice of are tech giants such as Alibaba, Baidu, Infosys, JD.com, Samsung, and Tencent Holdings. It also includes lesser known but high quality tech companies such as Kuaishou Technology, Meituan Dianping, and Pinduoduo.
Kuaishou Technology is the company behind the eponymous Kuaishou app. It is the world’s second largest short video platform with an average of 275.9 million daily active users. It generates revenue from live-streaming, ads, and ecommerce.
Whereas Pinduoduo is an e-commerce platform that offers a wide range of products from daily groceries to home appliances. The Pinduoduo platform connects distributors with consumers directly through an interactive shopping experience. This allows shoppers to team up to buy items in bulk at lower prices. In March, the company revealed that it had 788 million annual active customers, overtaking Alibaba.
BetaShares Global Cybersecurity ETF (ASX: HACK)
Another ASX ETF to look at is the BetaShares Global Cybersecurity ETF. This popular ETF gives investors exposure to the leading companies in the global cybersecurity sector.
The cybersecurity sector has been growing rapidly in recent years. And due to increasing demand for cybersecurity services because of the growing threat of cyber attacks and the shift to the cloud, it has been tipped to continue doing so in the years to come.
Included in the fund are both global cybersecurity giants and emerging players from a range of global locations. Among the companies you’ll be buying a piece of are Accenture, Cisco, Cloudflare, Crowdstrike, Okta, and Splunk.
Through its Falcon platform, CrowdStrike delivers incident response and forensic analysis services that are designed to help businesses understand whether or not a breach has occurred. It then allows the user to respond and recover from a breach with speed and precision to remediate the threat.
Whereas Okta provides businesses with workforce identity solutions. This ensures that access to information is given only to those that are meant to have it. It recently released its first quarter results and provided long term guidance for the first time. Okta is targeting US$4 billion in annual revenue by FY 2026, which implies compound annual growth of at least 35% over the next five years.