US stocks have been on an amazing trajectory for three years, and top broker Morgan Stanley thinks there is more growth to come.
In its 2026 investment outlook, Morgan Stanley tips the S&P 500 Index (SP: .INX) to rise to 7,800 points by the end of the new year.
The S&P 500 closed at 6,944.47 points overnight, so the broker's tip equates to a potential gain of 12% this year.
Serena Tang, Morgan Stanley's Chief Global Cross-Asset Strategist, says:
There will be some bumps along the way, but we believe that the bull market is intact.
Many Aussie investors have exposure to US stocks through ASX exchange-traded funds (ETFs).
ASX ETFs are handy investment instruments, providing access to a basket of stocks in one trade for a low ongoing management fee.
Here are three examples of ETFs providing exposure to US stocks.
Image source: Getty Images
3 ASX ETFs invested in US stocks
iShares Core S&P 500 AUD ETF (ASX: IVV)
The IVV ETF tracks the US benchmark S&P 500, which tracks the performance of the 500 largest US companies by market capitalisation.
This provides good diversification across large caps, mid caps, and small caps, however, the big tech companies do dominate the index.
Sector representation includes 34% tech shares, 13% financials, and 11% communications.
The biggest holdings are Nvidia Corp (NASDAQ: NVDA) 8%, Apple Inc (NASDAQ: AAPL) 7%, and Microsoft Corp (NASDAQ: MSFT) 6%.
Since inception in 2000, this ASX ETF's total returns have averaged 8.17% per annum.
In 2025, the total return was 17.88%, however, this was eroded by the stronger Australian dollar to 10.13%, as we explain here.
The management expense ratio (MER) is 0.03%.
Global X Fang+ ETF (ASX: FANG)
The Global X Fang+ ETF tracks the NYSE FANG+ Index.
This ASX ETF only invests in 10 US stocks, including six of the Magnificent Seven, plus Crowdstrike Holdings Inc (NASDAQ: CRWD), Netflix Inc (NASDAQ: NFLX), Broadcom Inc (NASDAQ: AVGO), and Palantir Technologies Inc (NASDAQ: PLTR).
Its sector representation is 60% technology, 30% communication services, and 11% consumer discretionary.
The biggest holdings are Alphabet Inc Class A (NASDAQ: GOOGL) 11%, Nvidia 11%, and Amazon.com, Inc. (NASDAQ: AMZN) 11%.
Since its inception in 2020, the Fang+ ETF's total returns have averaged 29.5% per annum. In 2025, it returned 12.1%.
The MER is 0.35%.
Vanguard MSCI Index International Shares ETF (ASX: VGS)
VGS ETF tracks the MSCI World ex-Australia (with net dividends reinvested) AUD Index.
The VGS ETF focuses on large companies with global earnings bases.
It is exposed to 1,284 shares, and about 70% are US stocks.
Sector representation includes 28% technology, 16% financials, and 11% industrials.
The biggest holdings are Nvidia 5%, Apple 5%, and Microsoft 4%.
Since this ASX ETF's inception in 2014, the total returns have averaged 13.6% per annum.
In 2025, the ETF returned 13.4% in AUD terms.
Its MER is 0.18%.
