When I think about investing for the next ten years, I am focused on owning assets that can benefit from long-term global growth.
That is where exchange traded funds (ETFs) can be particularly useful. They offer exposure to powerful themes with the click of a buy button.
If I were building a portfolio to hold largely untouched for the next decade, these are three global ETFs I would feel comfortable owning.
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BetaShares Nasdaq 100 ETF (ASX: NDQ)
The NDQ ETF provides exposure to many of the most influential companies shaping the global economy.
This ETF tracks the Nasdaq 100 Index, which includes many of the largest and most widely respected stocks in the world. Many of these businesses are deeply involved in areas such as artificial intelligence, cloud computing, online shopping, electric vehicles, digital payments and social media.
What appeals to me is not just growth, but durability. These are stocks with fortress balance sheets, global reach, and a history of reinvesting in innovation. While the fund can be volatile at times, the underlying businesses continue to grow earnings over long periods.
For a ten-year horizon, I see the BetaShares Nasdaq 100 ETF as a way to capture global innovation without needing to constantly rotate holdings.
Vanguard MSCI Index International Shares ETF (ASX: VGS)
The Vanguard MSCI Index International Shares ETF would play a different role in my portfolio.
Rather than focusing on one sector or theme, it provides broad exposure to developed markets outside Australia. This includes over a thousand companies across the United States, Europe, and other major economies.
For Australian investors, this helps address a common issue: home bias. Many local portfolios are heavily concentrated in Australian banks and resources. The VGS ETF adds balance by spreading exposure across industries and regions that are underrepresented locally.
It is not designed to be exciting. It is designed to be effective. Over a decade, that kind of broad diversification can be a powerful foundation for a portfolio.
Vanguard FTSE Asia Ex-Japan Shares Index ETF (ASX: VAE)
The Vanguard FTSE Asia Ex-Japan Shares Index ETF adds an important growth dimension that many global portfolios lack.
This ETF provides exposure to Asia outside Japan, including markets such as China, Taiwan, India, and South Korea. These regions are home to a large share of the world's population and many of its fastest-growing economies.
The VAE ETF includes stocks that sit at the heart of global manufacturing, technology, and consumption.
For a ten-year holding period, I see the Vanguard FTSE Asia Ex-Japan Shares Index ETF as a way to capture demographic and economic trends that may not be fully reflected in developed market indices.
How these ETFs work together
What I like about this combination is how complementary it is.
The NDQ ETF provides exposure to global innovation leaders. The VGS ETF offers broad developed market diversification. Lastly, the VAE ETF adds emerging and high-growth Asian exposure.
Each offers a different way to access global markets, and together they create a diversified portfolio built for the long term.
For investors willing to stay patient and let compounding do its work, these are global ETFs I would be comfortable recommending long into the future.
