3 explosive ASX ETFs to buy and hold

These funds could be destined for big things in the future. Let's find out why.

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

Key points
  • The BetaShares Australian Technology ETF offers exposure to Australia's tech giants like WiseTech Global, capitalising on the digitisation of global supply chains and promising robust growth potential.
  • For those with a higher risk tolerance, the BetaShares Crypto Innovators ETF provides a gateway into the expanding blockchain and crypto landscape, featuring key players like Coinbase set to drive digital transformation.
  • Investing in the BetaShares Video Games and Esports ETF taps into an entertainment industry larger than movies and music combined, with gaming powerhouses like Nintendo poised for continued success amid rising esports and digital sales trends.

For long-term investors who want exposure to fast-growing global themes without picking individual stocks, ASX exchange traded funds (ETFs) could be the answer.

That's because there are many out there that offer a simple, diversified way to tap into the next decade of disruption.

Three that stand out as explosive opportunities that could be worth buying and holding for years to come are named below. Here's what you need to know about them:

Two men look excited on the trading floor as they hold telephones to their ears and one points upwards.

Image source: Getty Images

BetaShares Australian Technology ETF (ASX: ATEC)

The BetaShares Australian Technology ETF provides investors with exposure to homegrown innovators such as WiseTech Global Ltd (ASX: WTC), Xero Ltd (ASX: XRO), TechnologyOne Ltd (ASX: TNE), and NextDC Ltd (ASX: NXT).

One company that highlights the long-term potential of this ETF is WiseTech Global. Its CargoWise platform is used by the world's largest logistics companies and has become the industry standard for managing global supply chains. As freight operators continue digitising and automating their networks, WiseTech's pricing power, global reach, and sticky customer base give it a long runway for growth.

Betashares recently recommended this fund to investors.

BetaShares Crypto Innovators ETF (ASX: CRYP)

For investors willing to embrace higher volatility in exchange for higher potential returns, the BetaShares Crypto Innovators ETF could be worth a shout.

It provides exposure to the stocks that are building the global cryptocurrency and blockchain ecosystem. Its holdings include digital asset exchanges, mining companies, and blockchain development firms such as Coinbase Global (NASDAQ: COIN), Marathon Digital Holdings (NASDAQ: MARA), and Riot Platforms (NASDAQ: RIOT).

Coinbase is the leading U.S. crypto exchange, it benefits directly from increasing institutional adoption of digital assets, rising transaction volumes, and the broader growth of decentralised finance applications. As blockchain technology continues to expand beyond trading into payments, tokenisation, and real-world applications, companies like Coinbase could play a central role.

While BetaShares Crypto Innovators ETF is not for the faint-hearted, over a long investment horizon, the potential upside of the digital asset industry could be substantial.

BetaShares Video Games and Esports ETF (ASX: GAME)

Gaming has evolved from a hobby into one of the world's largest entertainment industries. So much so, it is now bigger than the movie and music sectors combined.

The BetaShares Video Games and Esports ETF gives investors exposure to the companies driving that growth, including Tencent Holdings (SEHK: 700), Nintendo, and Electronic Arts (NASDAQ: EA).

A standout holding is Nintendo. Its iconic franchises, such as Mario to Zelda, continue to generate billions in global sales, while its hybrid Switch console remains one of the best-selling gaming systems ever. With esports expanding, digital sales rising, and subscription-based gaming becoming mainstream, companies in this ASX ETF's portfolio are well placed to benefit from lasting consumer trends rather than short-lived fads.

The BetaShares Video Games and Esports ETF provides a simple way to invest in an industry with massive and enduring global demand. It was also recently recommended by analysts at Betashares.

Motley Fool contributor James Mickleboro has positions in Nextdc, Technology One, WiseTech Global, and Xero. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Technology One, Tencent, WiseTech Global, and Xero. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Coinbase Global, Electronic Arts, and Nintendo. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ETFs

woman looking at iPhone whilst working on a laptop
ETFs

Why I'm seriously thinking about buying these ASX ETFs in April

As April approaches, these are two ASX ETFs I’m watching closely for long-term investing.

Read more »

A couple sit in front of a laptop reading ASX shares news articles and learning about ASX 200 bargain buys
ETFs

Which ASX ETFs have Aussies traded most since the Iran war began?

Aussies have $333 billion invested in ASX ETFs. Here's how their trading patterns have changed this month.

Read more »

a smiling woman sits at her computer at home with a coffee alongside her, as if pleased with her investments.
ETFs

Where I'd invest $50,000 into ASX ETFs today

A $50,000 investment doesn’t need to be complicated. Here’s how I’d use ASX ETFs to build a balanced portfolio.

Read more »

ETF in gold hovering on a laptop.
ETFs

5 ASX ETFs to navigate rising interest rates

These funds could be worth considering if rates stay high.

Read more »

Latin American woman at home checking her budget after grocery shopping.
ETFs

Where to invest if inflation keeps rising – Expert

These funds could outperform if inflation stays high.

Read more »

A panel of four judges hold up cards all showing the perfect score of ten out of ten
ETFs

3 top Vanguard ETFs I would buy in April

Markets have been volatile, but that could create opportunities. Here are three Vanguard ETFs I’d consider as we head into…

Read more »

A woman scratches her head in dismay as she looks at a chaotic scene at a data centre.
ETFs

As AI spending accelerates these ASX ETFs could help you tap into the boom

AI and chips are reshaping industries.

Read more »

A little boy holds his fingers to his head posing as a bull.
ETFs

5 ASX ETFs to buy before the next bull market

These funds could be worth considering when sentiment shifts.

Read more »