2 of the best ETFs for ASX investors to buy next week

Here are a couple of ETFs that could be buys next week…

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

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you're in the market for some new exchange traded funds (ETFs), then it could be worth considering the two listed below.

Both are filled to the brim with high quality companies and are trading well below their highest levels of the year. Here's what you need to know:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

It has not been a good year for the BetaShares NASDAQ 100 ETF. This hugely popular ETF has dropped 29% from its 52-week high.

This has been driven by a de-rating of tech valuations and, more recently, the poor performance of a number of tech behemoths such as Amazon and Meta (Facebook). The latter has lost almost three-quarters of its value in 2022 as TikTok steals screen time and Apple's privacy changes make targeted advertising harder.

While this is very disappointing, it could prove to be an incredible buying opportunity for investors with a long-term focus. Particularly given the quality that is on offer with the ETF.

The BetaShares NASDAQ 100 ETF is home to the 100 largest (non-financial) businesses on Wall Street's technology focused NASDAQ exchange. This means investors will be buying a slice of many of the world's greatest companies such as Amazon, Apple, Alphabet, , Microsoft, Nvidia, and Tesla.

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

The VanEck Vectors Morningstar Wide Moat ETF could be an ETF to consider next week.

Its units have fared a lot better than the Nasdaq 100 ETF and are down approximately 10% from their 52-week high.

This could make it an opportune time to make an investment, particularly given its strong track record of generating stellar returns. Even after accounting for 2022's difficulties, the index the fund tracks has generated an average return of 19.14% per annum over the last 10 years.

This has been driven by its focus on fairly priced US companies with sustainable competitive advantages or moats.

The fund regularly changes its constituents and removes stocks when they become overvalued. But generally, there will be approximately 50 shares in the fund at any given time. At present, this includes Alphabet, Amazon, Boeing, Microsoft, Salesforce, and Walt Disney.

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. has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has positions in and has recommended BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended VanEck Vectors Morningstar Wide Moat ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ETFs

asx share price boosted by us investment represented by hand waving US flag across winning athlete
ETFs

Which ASX ETFs give Aussie investors access to US stocks?

We canvas some options to help you get your research started.

Read more »

Man holding Australian dollar notes, symbolising dividends.
ETFs

Want the latest dividend from the Vanguard Australia Shares ETF (VAS)? Here's what you have to do

If you want to bag the latest VAS dividend, here's what you need to do.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
ETFs

Why these ASX income ETFs could be top options

Here's how investors can use ETFs to generate income.

Read more »

ETF written on cubes sitting on piles of coins.
ETFs

2 rewarding ASX ETFs I'd buy to build a second income

There are a few different ETFs that can provide good dividends. Here are two.

Read more »

A young man wearing glasses writes down his stock picks in his living room.
ETFs

The pros and cons of buying the iShares S&P 500 ETF (IVV) right now

It’s important to ask the question of whether it’s a good time to buy.

Read more »

A graphic illustration with the words NASDAQ atop a US city and currency
ETFs

How much would I have now if I'd invested $10,000 in the BetaShares Nasdaq 100 ETF (NDQ) a year ago?

Was it a good idea to buy this ETF a year ago?

Read more »

young man smiling in blue shirt
ETFs

Invest $500 in these outstanding ASX ETFs

Could these ETFs deliver the goods for investors over the long term?

Read more »

A group of young ASX investors sitting around a laptop with an older lady standing behind them explaining how investing works.
ETFs

Buy and hold these ASX ETFs until 2034

These ETFs could be great long-term options. Let's see why.

Read more »