Looking to diversify your portfolio beyond Australia's borders?
While the ASX is home to some high-quality companies, global exposure can help reduce risk and unlock greater growth opportunities. The good news is that Aussie investors don't need to buy international shares directly to gain this exposure.
Instead, exchange-traded funds (ETFs) provide an easy and cost-effective way to invest in the world's biggest markets, industries, and megatrends—all from the ASX.
Here are five options for investors to look deeper into this week:
Vanguard MSCI Index International Shares ETF (ASX: VGS)
One of the best options for broad global exposure could be the Vanguard MSCI Index International Shares ETF. This ETF tracks the MSCI World Index, which includes around 1,500 large- and mid-cap stocks from 23 developed markets. It gives investors exposure to some of the biggest and most successful companies in the world, including Apple, Microsoft, and Nestlé. With diversification across multiple sectors and countries, the VGS ETF could be a strong choice for those wanting to invest internationally with minimal effort.
BetaShares Nasdaq 100 ETF (ASX: NDQ)
For investors looking to tap into the world's biggest tech giants, the BetaShares Nasdaq 100 ETF is a good option. This ASX ETF gives exposure to the 100 largest non-financial companies listed on the Nasdaq stock exchange, including high-growth tech giants like Apple, Amazon, NVIDIA, and Tesla. The Nasdaq 100 has historically outperformed many global indices over the long term, driven by innovation in AI, cloud computing, and e-commerce. The NDQ ETF offers a way for investors to ride the wave of technological disruption and capitalise on companies leading the digital revolution.
iShares Asia 50 ETF (ASX: IAA)
Emerging markets in Asia continue to be a major driver of global economic growth, and the iShares Asia 50 ETF provides exposure to some of the region's biggest and most dominant companies. This ETF tracks the top 50 Asian stocks, with holdings in China, Taiwan, Hong Kong, and South Korea. The fund includes major names such as Alibaba, Tencent, and Taiwan Semiconductor Manufacturing Company (TSMC), all of which are shaping the future of technology and e-commerce. Asia's rapidly growing middle-class populations and booming tech industries make it an attractive investment destination, and the IAA ETF provides a simple way to access these high-growth markets.
Global X FANG+ ETF (ASX: FANG)
For those who want to invest in the world's most powerful tech and internet companies, the Global X FANG+ ETF is worth considering. This ASX ETF tracks the performance of ten of the biggest and most influential technology stocks, including Facebook (Meta), Netflix, Google (Alphabet), Amazon, and other major tech disruptors. These companies have strong competitive advantages, global reach, and are leaders in the digital economy. While the FANG+ Index has historically delivered high returns, investors should be mindful that it also comes with greater volatility. However, for those looking for exposure to high-growth tech names, this fund offers a focused way to gain access to these industry giants.
iShares Europe ETF (ASX: IEU)
While many investors focus on the US and Asia, Europe is home to some of the world's biggest and most well-established businesses. The iShares Europe ETF provides exposure to 350 of Europe's largest companies across a variety of sectors. It includes global leaders like Nestlé, LVMH, Roche, and Unilever, all of which have strong brand power and international presence. Europe offers a unique investment opportunity, particularly in industries such as healthcare, industrials, and luxury goods, which are underrepresented in the Australian market. For investors looking to balance their portfolios with geographic diversity, the IEU ETF could be a solid choice.
