2 highly rated international ETFs for ASX investors

These ETFs are popular with investors. Here’s why…

| More on:

Image source: Getty Images

Exchange traded funds (ETFs) continue to grow in popularity with investors and it isn’t hard to see why. Never has it been so easy for investors to gain access to groups of shares from all corners of the world.

But given how many ETFs there are to choose from, it can be hard to decide which ones to add to a portfolio. To narrow things down, I have picked out two highly rated and popular ETFs to get better acquainted with. They are as follows:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

The BetaShares NASDAQ 100 ETF aims to track the performance of the NASDAQ-100 Index before fees and expenses. This index comprises 100 of the largest non-financial companies listed on the NASDAQ market, and includes many companies that are at the forefront of the new economy.

BetaShares notes that this area of the market is underrepresented on the Australian share market. As a result, the ETF may benefit local investors that often have a large allocation to financials and mining companies and little exposure to technology.

Among the companies you’ll be buying a slice of are global giants such as Amazon, Apple, Facebook, Microsoft and Tesla. And given their positive long term growth prospects, this bodes well for the BetaShares NASDAQ 100 ETF’s performance over the coming years.

Over the last five years the ETF has generated a return of 23.6% per annum for investors.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another ETF to look at is the Vanguard MSCI Index International Shares ETF. This ETF provides investors with exposure to 1,507 of the world’s largest listed companies from major developed countries.

Vanguard notes that the ETF offers low-cost access to a broadly diversified range of securities that allows investors to participate in the long-term growth potential of international economies outside Australia. The fund manager believes this makes it suitable for buy and hold investors seeking long-term capital growth, some income, and international diversification.

Among the companies included in the fund are giant such as Apple, Johnson & Johnson, JP Morgan, Nestle, Procter & Gamble, and Visa.

The Vanguard MSCI Index International Shares ETF has generated a total return of almost 14% per annum over the last five years.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia owns shares of and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended Vanguard MSCI Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ETFs

A young male ASX investor raises his clenched fists in excitement because of rising ASX share prices today

Why is the Betashares Asia Technology Tigers ETF having such a cracker of a day?

Here's what is driving this ETF higher today...

Read more »

ETF in written in different colours with different colour arrows pointing to it.

Why I’d buy the iShares S&P 500 ETF right now for instant diversification

I think the iShares S&P 500 ETF could be a good buy in 2022. Take a look...

Read more »

ETF written in white on a grass background.

These 2 ASX ETFs are focused on ‘green’ technology

Some ETFs give exposure to areas like green technology. Here are two of them.

Read more »

businessman holding world globe in one hand, representing asx etfs

3 high quality ETFs for ASX investors to buy now

Here are three top ETFs to watch...

Read more »

Disappointed woman at the falling share price with her hand oh her had.

Here’s why the Betashares Nasdaq 100 ETF (NDQ) is sinking today

Why is the Nasdaq 100 ETF performing so badly today?

Read more »

Man looking at an ETF diagram.

2 beaten down ETFs for investors to buy now

Here are a couple of beaten down ETFs for investors to buy next week...

Read more »

A woman looks internationally at a digital interface of the world.

Why I think it’s a good time to buy the Vanguard MSCI Index International Shares ETF (VGS)

I think the Vanguard International Shares ETF is looking better value after all this volatility.

Read more »

ETF written in yellow with a yellow underline and the full word spelt out in white underneath.

2 fantastic ETFs for ASX investors to buy next week

Here are two quality ETFs to watch...

Read more »