This year's global equity market slump has negatively affected many ASX exchange-traded funds (ETFs).
The S&P/ASX 200 Index (ASX: XJO) is down 2.8% for the year. Meanwhile, the S&P 500 Index (SP: .INX) has fallen 5.9% and the technology-heavy Nasdaq Composite Index (NASDAQ: .INIX) is down 9.9% for the year.
Since the first ETF was listed on the ASX in 2001, ETF investing has surged in popularity. In 2024, the ASX ETF industry grew at 38.7%. This marked its strongest year on record, surpassing the prior record set in 2021.
Investors looking to build their ASX ETF portfolio may be searching for value after the recent share market declines. Given the decline in US indices relative to the ASX, investors may be looking to invest in the US.
Here are three popular US-focused ASX ETFs that have fallen more than 10% this year to consider.
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Vanguard US Total Market Shares Index AUD ETF (ASX: VTS)
Vanguard US Total Market Shares Index AUD ETF has declined 11.8% so far this year, underperforming both the S&P 500 and Nasdaq Composite. With 3,598 holdings, this ETF provides broad exposure to the entire US economy. Its management fee is extremely low at 0.03% per annum. While it has underperformed lately, its long-term track record is strong, having increased 86% over the past five years. Those looking for a strong long-term performer might wish to capitalise on the recent pullback and buy VTS at this price.
iShares S&P 500 AUD ETF (ASX: IVV)
Alternatively, investors may prefer to invest in the 500 largest listed companies in America through the iShares S&P 500 AUD ETF. This ASX ETF has also underperformed the S&P 500 and Nasdaq Composite this year, falling 11.2%. While slightly above VTS, its management fee is still very low at 0.04% per annum. Its long-term track record is even more impressive than VTS', having risen almost 90% over the past five years.
Betashares Nasdaq 100 ETF (ASX: NDQ)
Finally, BetaShares Nasdaq 100 ETF is another popular ASX ETF to consider. Down 13.9% for the year to date, this ETF has declined the most of the three ETFs. NDQ tracks the performance of the 100 largest non-financial companies listed on the Nasdaq. Its management fee is relatively high at 0.48%. However, it has also delivered a commendable performance, having climbed 88% over the past five years. Those betting that the US technology sector has been oversold this year may wish to buy this ETF for a substantially cheaper price than at the start of the year.
