The ETF Market Scoop Report said investors poured $5.3 billion in Australian ETFs in the first month of 2026, marking the best start to the year on record. 

Subsequently, the Australian Exchange Traded Fund market grew $5.8 billion (+1.7%) over the month to $336.4 billion across 463 products.

Here were some of the prominent themes. 

Metals Mayhem 

Acording to Global X, January was defined by extreme volatility across precious metals.

The report said several metals were sold off aggressively, with silver recording its worst intraday fall on record during January. 

Despite the drawdown, trading activity accelerated, as investors actively repositioned across the precious metals complex. The scale of this repositioning was evident in Australian-listed ETFs, with total precious metals ETF trading reaching $2.4 billion during January, marking the highest monthly volume on record.

Additionally, Global X said precious metal ETFs took in $447 million in January, marking the highest month on record for the category. 

Historically, silver ETFs have averaged roughly $3 million in daily turnover over the past five years. However in January, that figure rose to $47 million per day. 

After such unprecedented investment in the sector, investors may be wondering if there is still upside. 

Fortunately, Global X said the longer-term outlook for silver continues to be supported by structural demand from electrification, given its critical role in solar panels, electric vehicles, AI infrastructure and power grids.

Gold's Bull Market is far from over

Another key point from the report was that gold's current rally sits firmly within a secular bull market, echoing earlier multi-year uptrends rather than a late-cycle spike. 

Global X said previous bull markets have been driven by a weaker US dollar, accommodative monetary policy and rising geopolitical risk – a backdrop that shares clear parallels with today's environment.

Gold's price is underpinned by more than just ETF flows. Ongoing central bank buying, as countries diversify reserves away from the US dollar, remains a major structural driver. Official sector demand has stayed largely price-insensitive, with purchases sustained even as gold moved to new highs, highlighting that gold is increasingly treated as a core reserve asset rather than a cyclical trade.

Best performing ASX ETFs

Some of the best performing ASX ETFs across January reflected these themes. 

Hydrogen's strong was driven by improving order momentum, supportive policy, and growing confidence in commercial viability.

Simultaneously, Uranium miners continued their resurgence, as investors refocused on nuclear energy's role in meeting AI-driven power demand.

Finally, the report said equity leadership remained concentrated in North Asia, with Korea extending its momentum.

According to the report, ASX ETFs that saw big gains in January included: 

• Global X Physical Silver Structured (ASX:ETPMAG) rose 36.4%
• Betashares Global Uranium Etf (ASX: URNM) rose 33.7%
• ETFs Hydrogen ETF (ASX: HGEN) lifted 24.8%
• Global X Uranium ETF (ASX: ATOM) increased 24.3%
• iShares Msci South Korea ETF (ASX: IKO) rose 21.3%. 

The post What were the best performing ASX ETFs in January? appeared first on The Motley Fool Australia.

According to Anna Wu, Senior Associate, Cross-Asset Investment Research, last year marked the strongest annual performance for emerging market equities since 2017.

She believes there are a number of drivers that could support this momentum throughout 2026. 

US dollar weakness

According to last week's report, assuming historical patterns hold, US dollar down cycles tend to persist once they begin. 

In 2026, factors such as high US government debt, easing monetary policy, and slowing US economic growth could contribute to further dollar weakness. 

Additionally, the US dollar's share of global foreign exchange reserves has declined to its lowest level since the mid-1990s, suggesting a broader move away from dollar dominance.

A weaker US dollar typically boosts the strength of emerging markets currencies, making exports cheaper, improving revenues and contributing to outperformance in this environment.

Emerging markets are positioned for growth tailwinds

The report from VanEck also reinforced that emerging economies are growing at almost twice the rate of developed markets. 

This is along with relatively stable inflation, which positions them as the world's primary growth drivers.

On a corporate level, street analysts are pricing in an upbeat earnings outlook for emerging markets companies, circa 20% EPS growth over the short and medium term. This highlights the upside potential for continued earnings growth. 

Valuations of emerging markets corporates also appear more attractive compared to their developed markets peers, at a 25% relative discount and at an absolute level closer to the historical average.

Key markets to watch

VanEck pointed to South Korea and Taiwan as markets that have performed well recently. 

It said investors have been chasing exposure to the AI 'picks and shovels' trade. 

These are the companies that supply the core building blocks of artificial intelligence rather than end-use applications. These markets are among the world's top providers of semiconductors.

It also highlighted India as the next potential growth driver in emerging markets. 

India's strong GDP and earnings growth, coupled with easing policy and strong corporate earnings growth, reinforces its potential to return as a key emerging market outperformer this year. 

Additionally, the country could be a beneficiary of the global AI infrastructure buildout, with US tech giants such as Google and Microsoft continuing to increase capital expenditure (CAPEX) commitments in the country.

This sentiment is also shared by Global X who also identified India as a structural growth market in a report last week.

How do investors gain exposure to emerging markets?

For broad exposure to emerging markets, there are several options including: 

• VanEck Msci Multifactor Emerging Markets Equity ETF (ASX: EMKT)
• iShares MSCI Emerging Markets ETF (ASX: IEM)
• Vanguard FTSE Emerging Markets Shares ETF (ASX: VGE)

For geographic specific ASX ETFs for the aforementioned countries: 

• iShares Msci South Korea ETF (ASX: IKO)
• Betashares Capital Ltd – Asia Technology Tigers Etf (ASX: ASIA) – Includes roughly 63% combined weighting to South Korea and Taiwan
• VanEck India Growth Leaders ETF (ASX:GRIN)
• Betashares India Quality ETF (ASX: IIND)

The post The case for emerging markets ASX ETFs strengthens: Expert appeared first on The Motley Fool Australia.

With the rise of thematic funds, investors can now easily target sectors and niche areas of the market. 

While investors need to be conscious of overexposure, capturing tailwinds in these sectors can lead to big gains. 

Already in 2026 there have been funds that have shot ahead of benchmark indexes. 

For context, the S&P/ASX 200 Index (ASX: XJO) is up 2.29% year to date. 

That's nothing to sneeze at. 

However these three thematic ASX ETFs have flown significantly higher so far this year. 

iShares Msci South Korea ETF (ASX: IKO)

As the name suggests, this ASX ETF provides exposure to large and mid-sized companies in South Korea. 

According to iShares, The fund aims to provide investors with the performance of the MSCI Korea 25/50 Index, before fees and expenses. 

The index is designed to measure the performance of Korean large and mid-capitalisation companies. 

In 2026, this ASX ETF is already up an impressive 21%. 

The South Korean equity market is a major Asian economy with companies across technology, manufacturing, consumer and financial sectors.

Technology and manufacturing in particular are underrepresented here in Australia. 

Furthermore, South Korea plays an important role in global production of semiconductors, electronics and tech – sectors often tied to innovation and long‑term growth.

This fund's two largest holdings are Samsung Electronics and SK Hynix which make up approximately 44% of the fund. 

Global X Copper Miners ETF (ASX: WIRE)

This ASX ETF provides access to a global basket of copper miners which stand to benefit from being a key part of the value chain facilitating growth in major areas of innovation such as technology, infrastructure and clean energy.

More specifically, copper is essential for electric vehicles (EVs), renewable energy, and electronics. As the world shifts toward clean energy and electrification, demand for copper is expected to grow significantly.

The global copper price has been on a steady incline in the last year thanks to this demand.

This ASX ETF has certainly captured these tailwinds, rising more than 19% year to date and 110.40% over the last 12 months. 

Global X Green Metal Miners ETF (ASX: GMTL) 

Another thematic ASX ETF steaming ahead this year is the Global X Green Metals Miners fund. 

It has captured the critical minerals rally, rising more than 100% in the last 12 months and already 11.23% in 2026. 

It provides exposure to global companies which produce critical metals for clean energy infrastructure and technologies, including lithium, copper, nickel and cobalt.

The post These ASX ETFs are already up between 11% and 21% in 2026! appeared first on The Motley Fool Australia.

iShares is a family of ETFs (Exchange-Traded Funds) created and managed by BlackRock, one of the world's largest asset managers.

Here are some of iShares' best performing ASX ETFs over the past 12 months.

iShares Msci South Korea ETF (ASX: IKO)

This ASX ETF tracks the performance of the MSCI Korea 25/50 Index, before fees and expenses. 

The index is designed to measure the performance of Korean large-cap and  mid-cap companies.

The Korean economy saw modest growth in 2025, however this fund was able to capture some of the record breaking exports from last year. 

Electronics, and technology companies in particular rose sharply in 2025. 

These companies make up roughly half of the fund. 

By sector, its largest exposure is to: 

• Information Technology (48.95%)
• Industrials (19.29%)
• Financials (10.35%)

In fact, the country's annual exports exceeded $700 billion for the first time. This was largely on the back of semiconductor demand.

Semiconductors play an important role in the AI landscape.

This all contributed to a fantastic year for this ASX ETF which is now up more than 80% in the last 12 months. 

iShares International Equity ETFs – iShares Asia 50 ETF (ASX: IAA)

This more broad – Asia tracking ASX ETF enjoyed strong returns for many of the same reasons. 

This fund from iShares aims to track the performance of the S&P Asia 50 Index, before fees and expenses. 

The index is designed to measure the performance of 50 of the largest Asian companies domiciled in China, Hong Kong, South Korea, Singapore, and Taiwan. 

It has a strong exposure to Taiwan Semiconductor Manufacturing (NYSE: TSM) company which rose more than 50% in the last year. 

This one holding makes up more than a quarter of the fund by weighting. 

There are currently 52 holdings in total. 

In the last 12 months, this ASX ETF has risen by an impressive 41%. 

iShares International Equity ETFs – iShares Europe ETF (ASX: IEU)

Changing continents, this ASX ETF aims to track the performance of the S&P Europe 350 Index, before fees and expenses. 

The index is designed to measure the performance of large capitalisation equities and covers 16 major developed European markets.

Geographically, this funds' largest exposure is to:

• United Kingdom (23.51%)
• France (15.94%)
• Switzerland (14.42%)
• Germany (14.32%)

It is up more than 21% since this time last year. 

The post The best performing iShares ASX ETFs last year appeared first on The Motley Fool Australia.

Let's take a look at how much you'll receive.

If you chose to participate in the distribution reinvestment plan (DRP) for any of these iShares ETFs, we've provided the DRP prices, too.

It's dividend day for IVV ETF investors and others

Here is a summary of the dividend amounts that people invested in these iShares ETFs will receive today.

The iShares S&P 500 ETF (ASX: IVV) will pay 17.371762 cents per unit. The DRP price is 62.963308 cents.

The iShares Global 100 ETF (ASX: IOO) will pay 144.788408 cents per unit. The DRP price is 162.474210 cents.

The iShares Core S&P/ASX 200 ETF (ASX: IOZ) will pay 28.004199 cents per unit. The DRP price is 34.308186 cents.

The iShares Asia 50 ETF (ASX: IAA) will pay 317.017910 cents per unit. The DRP price is 120.104281 cents.

The iShares Core Composite Bond ETF (ASX: IAF) will pay 71.863797 cents per unit. The DRP price is 103.551430 cents.

The iShares MSCI Emerging Markets ETF (ASX: IEM) will pay 73.321424 cents per unit. The DRP price is 73.626987 cents.

The iShares Europe ETF (ASX: IEU) will pay 201.329885 cents per unit. The DRP price is 95.752689 cents.

The iShares MSCI South Korea ETF (ASX: IKO) will pay 142.553569 cents per unit. The DRP price is 111.875719 cents.

The iShares S&P/ASX 20 ETF (ASX: ILC) will pay 35.765356 cents per unit. The DRP price is 32.314116 cents.

But wait, there's more…

The iShares Government Inflation ETF (ASX: ILB) will pay 45.856295 cents per unit. The DRP price is 126.033139 cents.

The iShares MSCI Japan ETF (ASX: IJP) will pay 99.526157 cents per unit. The DRP price is 114.127567 cents.

The iShares S&P Mid-Cap ETF (ASX: IJH) will pay 15.907814 cents per unit. The DRP price is 47.288231 cents.

The iShares S&P Small-Cap ETF (ASX: IJR) will pay 56.095190 cents per unit. The DRP price is 167.136029 cents.

The iShares S&P/ASX Small Ordinaries ETF (ASX: ISO) will pay 5.747119 cents per unit. The DRP price is 4.931342 cents.

The iShares Global Consumer Staples ETF (ASX: IXI) will pay 103.428384 cents per unit. The DRP price is 98.952519 cents.

The iShares Global Healthcare ETF (ASX: IXJ) will pay 135.427098 cents per unit. The DRP price is 130.135897 cents.

How did ASX IVV perform in FY25?

The IVV ETF seeks to track the performance of the S&P 500 Index (SP: .INX) before fees.

US shares outperformed ASX shares again in FY25, and IVV ETF investors reaped the benefits.

The IVV ETF increased by 15.02% and delivered total returns (including dividends) of 15.13%, according to BlackRock.

Data from S&P Global shows the S&P 500 rose by 13.63% to close at 6,204.95 points on 30 June.

If we add dividends, the S&P 500's total gross return for the year was 15.16%.

The difference between the growth rate of the S&P 500 and the IVV ETF represents the impact of the currency exchange.

In Australian dollar terms, S&P Global data shows the S&P 500 rose by 15.8%, with total gross returns of 17.36%.

The post Own IVV ETF or other iShares ASX ETFs? It's dividend payday for you! appeared first on The Motley Fool Australia.

For one, I don't yet have enough funds in my account to make running a self-managed super fund (SMSF) economical.

For another, not withstanding the significant tax benefits of using super, I don't relish the idea of locking up too much of my capital away until I'm in my 60s.

Even so, my superannuation provider allows me to have some autonomy over the funds in my super.

Until now, my super has been a very simple affair. Roughly half of all incoming capital is directed into an ASX index fund. This ensures that a portion of my retirement income is flowing into the largest stocks on the ASX, including Commonwealth Bank of Australia (ASX: CBA), BHP Group Ltd (ASX: BHP) and Telstra Group Ltd (ASX: TLS).

The other half goes straight into an American index fund. This covers world-leading stocks like Apple, Microsoft, Alphabet, Amazon, Coca-Cola, Berkshire Hathaway and dozens of other household names.

For the past few years, I was very happy with his arrangement. It gives me access to some of the ASX's best companies, including the tax-advantaged franked dividends they provide. It also lets me diversify across geographies and currencies by holding those top-tier American companies, too.

However, I am currently rethinking this arrangement. I've come to the conclusion that a little bit more diversification might benefit my portfolio enormously.

Using ASX ETFs to diversify my superannuation

Why? Well, like many investors, my faith in the United States of America is waning.

In my view, the country is woefully divided and riven with political toxicity. The current administration has made no bones about its disdain for the political conventions and norms upon which the country was founded.

Even worse, it is pursuing, in my opinion, an economically disastrous trade policy. Much has been made of the Trump Always Chickens Out (TACO) trade. However, President Trump seems intent on surrounding the United States with tariffs and other trade barriers. The administration seems intent on forcing the US to abandon its leading role in the global economy.

This has spooked many investors. Demand for US government bonds looks to be falling, as does faith and demand for US dollars.

A new federal government budget that dangerously increases US debt levels has done nothing to assuage these concerns.

As a result, I am no longer comfortable with half of my super going into US stocks.

Instead, I am looking to diversify my super.

I am considering employing three new ASX exchange-traded funds (ETFs) in this endeavour.

They are the iShares MSCI Japan ETF (ASX: IJP), the iShares MSCI South Korea ETF (ASX: IKO) and the iShares MSCI EAFE ETF (ASX: IVE).

Those first two names cover the Japanese and South Korean stock markets, respectively. IVE, meanwhile, is a fund that tracks markets in Europe and East Asia.

All of these economies house world-leading companies like Toyota, Nestle, Hyundai and Nintendo. They provide, in my view, some much-needed ballast against the precarious economic position of the United States in 2025.

Foolish takeaway

I'm hoping to incorporate at least one, if not two or three, of these ETFs in my superannuation fund in the near future. Warren Buffett once said that diversification is useful if you don't know what you're doing. It seems to me that the United States doesn't really know what it is doing right now. As such, I think some anti-US diversification is sorely needed.

The post I want to add these 3 ASX ETFs to my super fund. Here's why. appeared first on The Motley Fool Australia.

According to the final distributions schedule, iShares will pay investors next Friday, 11 July.

A distribution reinvestment plan (DRP) is available for all iShares ETFs.

iShares has also announced the DRP prices for this next round of distributions. We have included those amounts below.

It's payday for IVV ETF investors and others

Here is a summary of the dividend amounts that people invested in this selection of iShares ETFs will receive on 11 July.

The iShares S&P 500 ETF (ASX: IVV) will pay 17.371762 cents per unit. The DRP price is 62.963308 cents.

The iShares Global 100 ETF (ASX: IOO) will pay 144.788408 cents per unit. The DRP price is 162.474210 cents.

The iShares Core S&P/ASX 200 ETF (ASX: IOZ) will pay 28.004199 cents per unit. The DRP price is 34.308186 cents.

The iShares Asia 50 ETF (ASX: IAA) will pay 317.017910 cents per unit. The DRP price is 120.104281 cents.

The iShares Core Composite Bond ETF (ASX: IAF) will pay 71.863797 cents per unit. The DRP price is 103.551430 cents.

The iShares MSCI Emerging Markets ETF (ASX: IEM) will pay 73.321424 cents per unit. The DRP price is 73.626987 cents.

The iShares Europe ETF (ASX: IEU) will pay 201.329885 cents per unit. The DRP price is 95.752689 cents.

The iShares MSCI South Korea ETF (ASX: IKO) will pay 142.553569 cents per unit. The DRP price is 111.875719 cents.

The iShares S&P/ASX 20 ETF (ASX: ILC) will pay 35.765356 cents per unit. The DRP price is 32.314116 cents.

Here are some more ASX ETFs…

The iShares Government Inflation ETF (ASX: ILB) will pay 45.856295 cents per unit. The DRP price is 126.033139 cents.

The iShares MSCI Japan ETF (ASX: IJP) will pay 99.526157 cents per unit. The DRP price is 114.127567 cents.

The iShares S&P Mid-Cap ETF (ASX: IJH) will pay 15.907814 cents per unit. The DRP price is 47.288231 cents.

The iShares S&P Small-Cap ETF (ASX: IJR) will pay 56.095190 cents per unit. The DRP price is 167.136029 cents.

The iShares S&P/ASX Small Ordinaries ETF (ASX: ISO) will pay 5.747119 cents per unit. The DRP price is 4.931342 cents.

The iShares Global Consumer Staples ETF (ASX: IXI) will pay 103.428384 cents per unit. The DRP price is 98.952519 cents.

The iShares Global Healthcare ETF (ASX: IXJ) will pay 135.427098 cents per unit. The DRP price is 130.135897 cents.

The post Own IVV ETF or other iShares ASX ETFs? Next dividends and DRP prices revealed… appeared first on The Motley Fool Australia.

Chances are, there aren't too many readers out there who have $100,000 ready to deploy into the markets right now. But regardless, it might be a rewarding thought exercise to discuss how to quickly build a portfolio of quality ASX ETFs if one does.

How I would build a $100,000 portfolio using just ASX ETFs today

$40,000: Vanguard Australian Shares Index ETF (ASX: VAS)

To start things off, I would deploy 40% of funds straight into an ASX index fund. ASX shares have been a great investment over any long period of time since Federation. Whilst the future is always uncertain, I see no reason why this trend won't continue for decades to come.

I've chosen the Vanguard Australian Shares ETF, as it is the only broad-based index fund on our market that offers exposure to the largest 300 shares on our market. Most other index funds offer exposure to the largest 200 shares.

As such, VAS' portfolio contains everything from BHP Group Ltd (ASX: BHP) and National Australia Bank Ltd (ASX: NAB) to Telstra Group Ltd (ASX: TLS) and JB Hi-Fi Ltd (ASX: JBH).

If the past is any indication, you can expect both decent capital growth from this ETF, as well as meaningful, franked dividend income.

$40,000: Vanguard MSCI Index International Shares ETF (ASX: VGS)

ASX shares are great and all. But I think most portfolios should also throw in some exposure to companies that are housed beyond our shores. 40% in this case.

The likes of Telstra and NAB are great businesses. But they simply pale in comparison in both size and quality to some of the Vanguard International Shares ETF's top holdings.

This fund is also an index fund, but one that tracks the stock markets of more than 20 advanced economies around the world. You'll find British, Japanese and French stocks here, as well as those from Canada, Switzerland, Hong Kong and Finland here. Saying that, the vast majority of VGS's holdings hail from the United States. If you buy this ETF, a good chunk of your money will flow into stocks like Apple, Microsoft, Amazon, NVIDIA, Coca-Cola Co and Berkshire Hathaway.

These companies are among the best in the world. As such, I think they have a rightful place in our portfolio as well. The diversification, both currency and geographic, is an added bonus.

Our final $20k: Pick your own ASX ETF

For our final $20,000, we can get a bit more exciting. I would pick a fund that, instead of offering a range of diversified businesses, aims to give exposure to one trend or market that you personally think will succeed in the future.

You might think that, with the world increasingly digitalising commerce and government services, cybersecurity shares have a bright future ahead of them. If that's the case, then considering the BetaShares Global Cybersecurity ETF (ASX: HACK) might be a good option.

Otherwise, you might be looking at the current geopolitical situation around the world and determine that defence companies are poised to thrive. If that's the case, the VanEck Global Defence ETF (ASX: DFND) might be your preferred choice.

If you're worried about a global recession, you might instead want to go for companies that thrive in all kinds of economic weather by buying the iShares Global Consumer Staples ETF (ASX: IXI).

Perhaps you're bullish on the South Korean economy and know a thing or two about that corner of the world. In that case, the iShares MSCI South Korea ETF (ASX: IKO) might pique your fancy.

There are countless options for our final $20k. I'll leave that one up to you.

The post How I would build a $100,000 portfolio with ASX ETFs today appeared first on The Motley Fool Australia.

However, one of the prime reasons investors arguably choose to add ASX ETFs to their share portfolios is because of the diversification they can provide.

ETFs can represent an investment in hundreds, or even thousands, of underlying shares, all in one easy ticker code. As such, it only takes one trade to add a significant level of diversification to even the most concentrated of ASX stock portfolios.

Now, here on the ASX, most investors use ASX index funds for these purposes, sometimes adding American-focused funds like the iShares S&P 500 ETF (ASX: IVV) for an extra diversification boost.

However, ASX ETFs allow us to go much further than the local or American market. So today, let's discuss three exotic ETFs that can inject diversity into any portfolio.

3 exotic ASX ETFs that will diversify any stock portfolio

iShares MSCI South Korea ETF (ASX: IKO)

First up, let's check out this ETF from iShares. The iShares MSCI South Korea ETF represents an investment in the largest 100 or so companies in South Korea.

The South Korean share market is dominated by tech companies, industrial stocks, and financials, which is slightly different from our own ASX.

Among this ETF's top holdings, you'll find familiar names like Samsung, Hyundai, Kia Motors, and LG. All of these companies are globally dominant and provide access to industries that do not have a big presence on the ASX.

If you're looking to add some exotic spice to your ASX stock portfolio, this ETF is a great place to start.

BetaShares FTSE 100 ETF (ASX: F100)

Although the United Kingdom is one of the largest economies in the world, we don't see much investment in British shares on the ASX. You can change that with this fund from Betashares, though. The Betashares FTSE 100 ETF represents an investment in the largest 100 stocks listed on the London Stock Exchange.

I like the London Stock Exchange for ASX investors because its largest holdings tend to be in industries that aren't heavily represented on the ASX. Some of F100's top stocks include pharma giant AstraZeneca, oil titan Shell, consumer staples company Unilever, and tobacco stock British American Tobacco.

This can add a lot of diversification to an ASX-dominated portfolio.

iShares MSCI Japan ETF (ASX: IJP)

Next up, we have another fund from iShares. The iShares MSCI Japan ETF does pretty much what it says on the tin. It allows access to the largest 200 shares listed on the Tokyo Stock Exchange.

Japanese stocks are not easily accessible on the ASX. Yet some of the world's most dominant companies are listed here, including Toyota, Sony, Mitsubishi, SoftBank and Nintendo.

Again, this focus on industrial and manufacturing companies provides some nice balance against the miners and banks that dominate the ASX.

The post 3 exotic ETFs to diversify any ASX stock portoflio appeared first on The Motley Fool Australia.

ASX ETFs are more sensitive than most ASX shares to the financial calendar. Most of these funds pay out dividend distributions every quarter rather than the six-month interval that is normally the standard for ASX shares. These quarterly dividend distributions are typically aligned with the four quarters of the financial year.

As it happens, today is the first day of the 2025 financial year. And as such, we've heard from dozens of ASX ETFs today regarding their next dividend distribution. Many are also trading ex-dividend for said distributions this Monday.

Take the iShares S&P 500 ETF (ASX: IVV). Earlier this afternoon, we discussed the IVV ETF and its latest quarterly dividend distribution, which has just been announced. Investors in this index fund will enjoy a distribution next week on 11 July.

We learned that this dividend distribution would be worth 14.06 cents per unit. However, today is also the day that this ETF has traded ex-dividend. That's why we are seeing a big dip in the IVV unit price this Monday (currently down 1.34%).

It's not just the iShares S&P 500 ETF. Most iShares ETFs are following IVV's lead today. That includes everything from the iShares Core S&P/ASX 200 ETF (ASX: IOZ) and the iShares MSCI South Korea ETF (ASX: IKO) to the iShares Global Consumer Staples ETF (ASX: IXI) and the iShares Government Inflation ETF (ASX: ILB).

A big day for ASX ETFs

All of these exchange-traded funds just traded ex-dividend and will pay their next distributions on 11 July.

And it's not just iShares ETFs that are going through this process right now. Last Friday, we discussed the latest monster dividend from the VanEck Morningstar Wide Moat ETF (ASX: MOAT). Well, MOAT units have also traded ex-dividend for this monster payment today, joining almost all ETFs from VanEck.

In addition to MOAT, today is the day that the VanEck Global Clean Energy ETF (ASX: CLNE), the VanEck China New Economy ETF (ASX: CNEW), the VanEck Gold Miners ETF (ASX: GDX) and the VanEck Australian Equal Weight ETF (ASX: MVW), amongst others, have traded ex-dividend. These ETFs will all pay out their respective distributions on 23 July, later this month.

It's a similar story for Vanguard ETFs. Vanguard is the provider responsible for many of the ASX's most popular ETFs.

Today has seen the likes of the Vanguard Australian Shares Index ETF (ASX: VAS), the Vanguard MSCI Index International Shares ETF (ASX: VGS), the Vanguard Australian Shares High Yield ETF (ASX: VHY) and the Vanguard Diversified High Growth Index ETF (ASX: VDHG) trade ex-dividend. These funds, as well as most Vanguard ETFs, will pay out their latest dividends on 16 July this month.

So all in all, this Monday is a huge day for ASX exchange-traded funds. If you own one, chances are you've got a paycheque with your name on it in the mail as we speak.

The post Why it's a big day for ASX ETFs appeared first on The Motley Fool Australia.

But today, there seems to be an ETF for every flavour you can think of. Oil? There's the BetaShares Crude Oil Index ETF (ASX: OOO). Do you find particular interest in the share market of South Korea? Then the iShares MSCI South Korea ETF (ASX: IKO) could pique your eye.  Food loving investors might find interest in the BetaShares Global Agriculture ETF (ASX: FOOD). Robotics? Try the ETFS ROBO Global Robotics and Automation ETF (ASX: ROBO). You get the idea.

The youngins love it

But new research from ETF provider BetaShares shows just how much of this interest comes from younger investors. 2020 was a great year for the ETF structure, despite the disruption of the global market crash in March.

According to the research, the number of ASX investors using ETFs climbed 58% in 2020, from 455,000 to 720,000. That was reportedly the largest annual increase ever recorded.

What's more, nearly two–thirds (65%) of these new ETF investors entering the market between March and August 2020 were under the age of 40. That is, millennials and 'Gen Zers'.

Alex Vynokur, CEO of BetaShares, said this of what he sees:

The average age of the ETF investor continues to fall, as first–time investors increasingly are made up of those under the age of 40. This continues a long–term trend and demonstrates that the wealthier early SMSF adopters of ETFs are now joined by younger Australians, who are also turning to ETFs to help them achieve their financial goals...

Investing can be daunting, particularly in times of volatility, such as during the pandemic–related market turmoil or more recently, during the GameStop controversy.

The fact that investors, particularly younger investors, continued to invest in ETFs throughout 2020 suggests that not only are investors attracted to the liquidity ETFs offer in volatile markets, they also appreciate simple, cost–effective way to diversify portfolios and minimise single stock risks…. We are preparing for another strong year of growth

Why are ETFs so hot right now?

So why are investors, especially millennials and Gen-Zers, choosing to invest in ETFs rather than individual ASX or international shares? Well, 63% of the investors BetaShares surveyed stated that diversification was the most important factor at play for choosing ETFs.

This makes sense. It is far easier to achieve diversification through a single share of an ETF than through direct share investing. That's because a single ETF can hold thousands of individual holdings with it. Other reasons why investors chose an ETF (or two) for their portfolios include access to specific overseas markets (24%), avoiding risk to individual stock exposure (42%), and efficiency (39%).

These numbers look set to grow even higher over the next 12 months. BetaShares is expecting another 190,000 investors to buy their first ETF in the next year. And if last year's statistics hold, this will include 120,000 millennials and Gen-Zers. ETFs are the new black right now, that's for sure.

The post Data shows millennials love investing in ASX ETFs appeared first on The Motley Fool Australia.

Until now, ASX exchange-traded funds (ETFs) that track the Australian share market follow a very narrow range of ASX-based indexes. These mostly revolve around the flagship S&P/ASX 200 Index (ASX: XJO). However, there are other less-used indexes, such as the S&P/ASX 300 Index (ASX: XKO).

But as you might have noticed, most of these 'ASX-only' indexes are run by S&P Global Inc (NYSE: SPGI).

But today, we have news that another global index provider in MSCI is set to join the party.

Who's this?

MSCI (formerly Morgan Stanley Captial International) is a New York-based company known for its globe-spanning indexes. Although MSCI currently does not offer ETFs, ASX investors might be familiar with some ASX ETFs that already track MSCI indexes around the world.

These include the Vanguard MSCI Index International Shares ETF (ASX: VGS), the iShares MSCI South Korea ETF (ASX: IKO) and the iShares MSCI Emerging Markets ETF (ASX: IEM).

But in Australia, MSCI is moving from the backroom to the open in offering its own indexes that exclusively track ASX shares. The Australian Financial Review (AFR) reported today that MSCI is launching more than 50 Australian indexes this week. According to the report, MSCI has been "quietly" working with super funds, ETF providers and fund managers over the last few months on the new offerings.

The new indexes will be grouped into four areas: market capitalisation, factor, thematic, and ESG (environmental, social and governance).

The market cap indexes will group ASX shares based on size (eg large-cap, small-cap), while the factor indexes will revolve around labels like value, quality or momentum.

Thematic indexes will cover specific sectors or areas of interest, such as real estate or resources. The ESG offerings will include a universal ESG index and others based on factors like climate change and excluding fossil fuels.

ASX is the pick of the bunch

The AFR reports that Australia is one of only 2 markets that MSCI has chosen to build a portfolio of domestic indexes. That's due to 2 reasons.

Firstly, the large capital base that our unique superannuation system provides. With at least 9.5% of the country's pre-tax income going into the superannuation system every year, there is a wide capital base to work off and a long runway for growth. Clearly, MSCI has noticed and is banking on super funds offering investments that may track MSCI's indexes in the future.

Secondly, the shift towards ESG investing in Australia. That AFR report states there is "a hunger for index-based strategies that can better replicate their investment philosophies". That spills over into which super products and investments Australians might choose to direct their super into.

MSCI clearly sees an opportunity here as the report states that the company wants to "work with each fund to create custom indexes that can reflect the fund's ESG view".

The post Countdown to launch of new ASX indexes for ESG boom appeared first on The Motley Fool Australia.

Investors put in the highest-ever amount of dollars into local ETFs in October, but some products fared far better than others.

A BetaShares report showed cash, bond and fixed interest ETFs featured prominently among the top 10 ETFs that saw the largest inflow of cash last month. 

This perhaps indicated some anxiety with investors about the US election result and sky-high share valuations.

Top 10 hottest Australian ETFs

ETF pioneer Vanguard dominated the top of the charts. 

Its Vanguard Australian Shares Index ETF (ASX: VAS), Vanguard Global Aggregate Bond Index (Hedged) ETF (ASX: VBND), Vanguard Msci Index International Shares Etf (ASX: VGS), and Vanguard Australian Fixed Interest Index ETF (ASX: VAF) collectively brought in about $478 million for the company.

But the most attractive fund of October, iShares Core S&P/Asx 200 Etf (ASX: IOZ), alone pulled in a stunning $326 million of investor funds.

Top 10 coldest Australian ETFs

At the other end of the charts, foreign assets seemed to go out of favour with Australian ETF investors.

The trend could be a validation of the successful suppression of COVID-19 in Australia while the northern hemisphere copped a third wave as it headed into the colder months.

iShares Edge MSCI World Multifactor ETF (ASX: WDMF), iShares MSCI South Korea ETF AUD (ASX: IKO), BetaShares US Dollar ETF (ASX: USD), iShares Europe ETF AUD (ASX: IEU) and Platinum International Fund (Quoted Managed Hedge Fund) (ASX: PIXX) all suffered significant outflows.

BetaShares itself had $34.8 million pulled out of its BetaShares Australian Resources Sector ETF (ASX: QRE), which was the 2nd highest amount.

It's often hard to pinpoint the exact reasons for outflows from a particular ETF, BetaShares head of strategy Ilan Israelstam told The Motley Fool.

"Investors will have their own motivations for increasing or reducing their positions," he said.

"On QRE in particular, our suspicion is that most of the selling was due to investors taking profits, given QRE was up around 34% from its lows in March."

Betashares and AMP Limited (ASX: AMP) recently closed down a trio of ETFs they jointly operate due to a lack of investor interest. Those funds will trade on the ASX for the last time on 4 December.

The last two months have been the only time in history that the Australian ETF industry saw more than $2 billion come inwards each month.

Local ETFs collectively manage $73.8 billion, which is another all-time record.

The post 10 hottest (and coldest) Aussie ETFs right now appeared first on The Motley Fool Australia.