There are a lot of exchange-traded funds (ETFs) for investors to choose from on the ASX.
But three of the best could be named below. Here's what you need to know about them:
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BetaShares NASDAQ 100 ETF (ASX: NDQ)
One of the best ASX ETFs out there is arguably the BetaShares NASDAQ 100 ETF.
This hugely popular fund aims to track the performance of the Nasdaq-100 Index (before fees and expenses). The Nasdaq-100 is home to 100 of the largest non-financial companies listed on the Nasdaq market.
This includes many companies that are at the forefront of the new economy such as Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and Nvidia (NASDAQ: NVDA).
The fund manager, Betashares, highlights that its strong focus on technology means that "NDQ provides diversified exposure to a high-growth potential sector that is under-represented in the Australian sharemarket."
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
Another ASX ETF to unwrap this Christmas is the VanEck Vectors Morningstar Wide Moat ETF.
If you are inspired by Warren Buffett and his style of investing, then this fund could be the one for you.
That's because this Buffett-inspired ETF gives investors access to a group of companies that have fair valuations and sustainable competitive advantages or wide moats.
These are the qualities that the Oracle of Omaha will often look for when he is finding investments for Berkshire Hathaway (NYSE: BRK.B). At present, the fund is invested across ~50 shares including the likes of Adobe (NASDAQ: ADBE), Nike (NYSE: NKE), and Walt Disney (NYSE: DIS).
This focus on sustainable competitive advantages appears to work. Over the past 10 years, the index this fund tracks has generated an average return of 16.7% per annum.
Betashares Global Quality Leaders ETF (ASX: QLTY)
Finally, a third ASX ETF that would be great to unwrap at Christmas is the Betashares Global Quality Leaders ETF.
This fund is home to the highest quality companies in the world. To qualify, these companies need to score highly on metrics such as returns on equity and profitability, low leverage, and earnings stability.
There are currently approximately 150 shares included in the future. These shares come from a range of geographies and global sectors, many of which are under-represented in the Australian share market.
Betashares' recently recommended the ETF as one for investors to buy. It notes that "a focus on quality, defence, and patience can pay off for investors."
