3 ASX ETFs for smart investors to buy

Let's see why smart investors might want to consider these funds.

| More on:

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

Exchange-traded funds (ETFs) have become one of the most popular ways for Australians to invest.

With a single trade, investors can gain exposure to a broad basket of companies across industries, countries, or themes.

For smart investors, the trick is finding ASX ETFs that combine diversification with exposure to strong, long-term growth opportunities.

With that in mind, here are three that look particularly compelling right now.

A smiling woman holds a Facebook like sign above her head.

Image source: Getty Images

Betashares Nasdaq 100 ETF (ASX: NDQ)

The Betashares Nasdaq 100 ETF tracks the Nasdaq-100 index, which is home to some of the world's most innovative and fastest-growing companies.

Household names like Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and NVIDIA (NASDAQ: NVDA) often dominate the headlines. But what makes this ASX ETF especially attractive is the breadth of businesses beyond those giants.

Its holdings also include stocks like PepsiCo (NASDAQ: PEP), Costco (NASDAQ: COST), and Starbucks (NASDAQ: SBUX). These are global leaders in consumer staples and retail and provide diversification and stability that balance out the high-flying tech names.

For long-term investors, the Betashares Nasdaq 100 ETF offers a simple way to own a slice of the companies shaping the future of technology and consumer trends.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

Another ASX ETF to look at is the Betashares Global Cash Flow Kings ETF. It is built around a straightforward principle: companies that generate strong, consistent cash flows tend to make resilient long-term investments.

This ASX ETF holds 200 global companies screened for high free cash flow yields, meaning they produce reliable profits after all expenses and reinvestment.

The portfolio is full of well-known names like Alphabet (NASDAQ: GOOGL) and Meta Platforms (NASDAQ: META), but it also includes businesses you might not think about every day, such as Airbnb (NASDAQ: ABNB) in travel bookings or Oracle (NYSE: ORCL) in enterprise software.

By focusing on companies with the financial muscle to reinvest, pay dividends, or buy back shares, the Betashares Global Cash Flow Kings ETF gives investors exposure to businesses with both stability and growth potential. It was recently named as one to consider buying by the team at Betashares.

BetaShares S&P/ASX Australian Technology ETF (ASX: ATEC)

Finally, for investors who want to support home-grown innovation, the BetaShares S&P/ASX Australian Technology ETF provides exposure to Australia's leading technology shares. Top holdings include WiseTech Global Ltd (ASX: WTC), a global logistics software provider, and Xero Ltd (ASX: XRO), which is helping small businesses manage their finances more efficiently.

Beyond those leaders, the ASX ETF also holds shares like Catapult Sports Ltd (ASX: CAT) and Megaport Ltd (ASX: MP1), both of which have carved out dominant positions in sports technology and network solutions. This mix gives investors exposure to both established tech leaders and emerging players in the local market. It was also recently named as one to consider by Betashares.

Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF, Megaport, WiseTech Global, and Xero. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Airbnb, Alphabet, Apple, BetaShares Nasdaq 100 ETF, Catapult Sports, Costco Wholesale, Megaport, Meta Platforms, Microsoft, Nvidia, Oracle, Starbucks, WiseTech Global, and Xero. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF, Catapult Sports, WiseTech Global, and Xero. The Motley Fool Australia has recommended Airbnb, Alphabet, Apple, Meta Platforms, Microsoft, Nvidia, and Starbucks. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ETFs

Business man at desk looking out window with his arms behind his head at a view of the city and stock trends overlay.
ETFs

Are these the best ASX ETFs to buy in May?

Want an easy way to invest? Here are three funds to consider.

Read more »

ETF written on wooden blocks with a magnifying glass.
ETFs

Meet the three new VanEck ASX ETFs set to hit the market on Thursday

VanEck is adding 3 new funds this week.

Read more »

ETF spelt out with a rising green arrow.
ETFs

3 excellent ASX ETFs to buy and hold for 10 years or more

Let's see what these top funds offer Aussie investors.

Read more »

Middle age caucasian man smiling confident drinking coffee at home.
ETFs

The best ASX ETFs to buy for passive income

This could be the easiest way to build an income portfolio.

Read more »

Retired couple hugging and laughing.
ETFs

Want to fast-track retirement? These ASX ETFs could get you there

This mix gives investors exposure to entire markets in a single trade.

Read more »

Man in drenched jacket in heavy rain.
ETFs

All-weather ASX ETFs to buy if the market crashes 20%

A crash is not a catastrophe for a prepared investor — here are the ETFs worth watching if shares take…

Read more »

A bland looking man in a brown suit opens his jacket to reveal a red and gold superhero dollar symbol on his chest.
ETFs

3 ASX ETFs with market-beating potential over the next 10 years

These funds are highly rated for a reason.

Read more »

Man holding fifty Australian Dollar banknotes in his hands, symbolising dividends.
ETFs

How to generate monthly income using ASX ETFs

Want a regular pay check from the share market? Here's how you can do it.

Read more »