With that in mind, today, let's discuss two ASX ETFs that I think are perfect for investors under 40, or anyone who wishes to harness the power of compounding to grow their wealth as fast as possible.

2 ASX ETFs primed for wealth creation under 40

BetaShares Nasdaq 100 ETF (ASX: NDQ)

First up, we have this US-based index fund from BetaShares. The BetaShares Nasdaq 100 ETF tracks the largest non-financial shares that call the NASDAQ stock exchange home.

The NASDAQ is one of the two major exchanges that serve the United States. Unlike its more mature stablemate, the New York Stock Exchange, the NASDAQ is where many of the newer, tech-focused stocks are listed. As such, you won't find the old stalwarts of the US markets, such as Coca-Cola or Exxon Mobil, in this fund. Instead, its top echelons are dominated by the likes of Apple, Microsoft, NVIDIA, Amazon, Alphabet, and Tesla. In addition, NDQ houses many other exciting names in the tech space. These range from Palantir, Shopify, and Advanced Micro Devices, to Netflix, PayPal, and SpaceX.

Given this heavy tilt towards some of the fastest-growing, future-facing companies in the world, I think this ASX ETF would be a great choice for anyone under 40 looking to build wealth as quickly as possible over the coming decade (or decades). If NDQ manages to retain the blistering 20%-plus annual returns it has hit over the past decade (no guarantees, of course), that won't be difficult.

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

Next up, we have another BetaShares fund in the Australian Technology ETF. This ASX ETF is a thematic one, giving investors exposure to the best tech stocks that the ASX has to offer. Our local market has a long and proud history of delivering meaningful returns. However, investing in a broad ASX index fund may not appeal to many investors under 40. That's because our markets are famously (or perhaps infamously) dominated by large, mature, and slow-growing banks and miners. These shares can be wonderful for those seeking high dividend income. But many investors who want to build wealth at a fast rate are looking for a little more vigour.

That's where ATEC comes in. This fund lists some of the ASX's most exciting growth stocks. These include Xero Ltd (ASX: XRO), TechnologyOne Ltd (ASX: TNE), Pro Medicus Ltd (ASX: PME), WiseTech Global Ltd (ASX: WTC), and NextDC Ltd (ASX: NXT), amongst many others.

Tech stocks can be volatile, and this ASX ETF has had a horrid 12 months or so. That said, this could be a great time to pick up some units of this ASX ETF for any investor who is bullish on Australian tech and the companies at its forefront.

The post Under 40? 2 ASX ETFs that can help supercharge wealth appeared first on The Motley Fool Australia.

They offer an easy way to buy large groups of shares, removing the need to pick stocks yourself.

With that in mind, here are three ASX ETFs that I think are well suited to beginners looking to build long-term wealth.

Betashares Diversified All Growth ETF (ASX: DHHF)

My first recommendation is the Betashares Diversified All Growth ETF, which I think is an excellent option for anyone wanting to keep investing simple.

This ETF provides exposure to approximately 8,000 stocks across Australia, the US, Europe, Asia and emerging markets.

What I like about this fund is that it takes away much of the decision-making involved in building a diversified share portfolio.

Instead of having to choose how much to invest in different countries or regions, investors can leave those decisions to the fund, which maintains a diversified mix of global shares.

It also charges a reasonable management fee of 0.19% per annum. This means for every $1,000 invested, just $1.90 is lost in fees.

For beginners with a long investment horizon, I think it offers a great way to start investing without making things unnecessarily complicated.

Betashares Australia 200 ETF (ASX: A200)

Another ASX ETF I'd recommend is the Betashares Australia 200 ETF.

This fund provides exposure to 200 of Australia's largest listed companies. This means you would be buying a slice of BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA) and Wesfarmers Ltd (ASX: WES).

I think this makes it a good option for beginners who want to invest in Australian businesses but aren't confident choosing individual shares.

After all, it can be difficult to know whether Commonwealth Bank, National Australia Bank Ltd (ASX: NAB) or Westpac Banking Corp (ASX: WBC) will perform best over the next decade.

With this ETF, investors can own all three, alongside many other leading Australian businesses.

Another positive is its low management fee of just 0.04% per annum, which means just 40 cents is lost in fees from every $1,000 investment.

This arguably makes it a cost-effective way to participate in the Australian share market's long-term growth and receive dividends along the way.

Betashares Nasdaq 100 ETF (ASX: NDQ)

A final ASX ETF I'd recommend to beginners is the Betashares Nasdaq 100 ETF.

This fund invests in 100 of the largest non-financial companies listed on the Nasdaq stock exchange, giving investors exposure to some of the world's most successful technology and growth businesses.

Its holdings include giants such as Nvidia (NASDAQ: NVDA), Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT) and Amazon (NASDAQ: AMZN).

What I like about this popular fund is that many of its holdings are businesses that beginners will already know and use regularly.

Whether it's Microsoft's software, Amazon's cloud computing services or Apple's devices, these companies have become deeply embedded in our everyday lives.

And I believe their ability to keep developing new products and services, including artificial intelligence (AI), could support strong earnings growth over the next decade.

Of course, this ETF is more concentrated than the other two, which means it could experience greater volatility when technology shares fall. It is also the more expensive fund of the three with a management fee and cost of 0.48%. This equates to $4.80 from every $1,000 invested.

Nevertheless, for beginners who are comfortable with these risks and have a long investment horizon, I think it could be an attractive way to invest in some of the world's leading growth companies.

The post 3 ASX ETFs I'd recommend to beginners appeared first on The Motley Fool Australia.

While the US midterm elections don't attract as much coverage as the Presidential election, the outcome is still consequential to the investing landscape.

Tomorrow's election will determine which party controls Congress. This will significantly affect legislation and executive action and will shape the direction of congressional hearings and investigations. Some sectors and ASX shares will benefit, while others will be disadvantaged.

The Republican Party currently controls both chambers of Congress.

The Democrats have been expected to take back control of the House for quite some time. 

Earlier this year, the prospects of them also taking back the Senate were slim. However, in recent months, Democrats' odds of taking back both chambers have risen.

With several key Senate races now rated a toss-up, Democrats have a slight edge.

Most notably, Texas could be on the cusp of electing its first Democratic Senator in more than 30 years. In recent weeks, Kansas, which Trump won by double digits in 2024 and hasn't elected a Democratic senator since 1932, has also been moved to a toss-up. 

Investors have been quietly shifting their expectations from a split Congress to a Democratic-controlled Congress. 

Should this eventuate, the balance of power in Washington would be divided for the next two years. A Democratic Congress would serve as a check and balance on Donald Trump's agenda. 

How could this change the investing landscape?

Let's consider three types of ASX shares that could swing the hardest based on the outcome.

Energy shares

Since the US-Iran conflict began in February this year, ASX energy shares have been especially volatile. 

Crude oil traded below $70 at the start of the conflict. It's now trading above $100, reflecting a significant rise. 

According to The New York Times, the US oil industry has made US$130 billion in profit during the Iran war. That's nearly three times higher than the industry made in the same period in 2025. 

Last week, the biggest US oil companies, Exxon Mobil and Chevron, reported their highest third-quarter earnings in years. High profits have translated into strong share price action, with both companies up more than 50% for the year to date.

On our local share market, ASX energy shares have also risen strongly this year. 

Woodside Energy Group Ltd (ASX: WDS) is up 40% for the year to date, while Santos Ltd (ASX: STO) has rallied 50%. By comparison, the S&P/ASX 200 Index (ASX: XJO) is up just 2% year to date.

Throughout the conflict, the two nations have held several rounds of negotiations to reach a peace deal. Negotiation progress has been a major source of volatility for ASX Energy shares. Further escalation has driven shares higher, while the announcement of a potential agreement has pushed them lower. 

There has been wide speculation over the trajectory of the Iran war following the midterms. Some observers believe Trump is waiting until they are over to escalate the war.  

However, if a Democratic Congress is in charge, Trump will have to work with Democrats to implement his domestic agenda and pass a budget. In doing so, he might agree to change course on the Iran War and work with Democrats to reach a peace deal.

ASX shares with high US dollar exposure

Elections can also cause volatility in the foreign exchange market. 

The US dollar is typically seen as a safe haven. 

Additional geopolitical conflict will strengthen the US dollar, while a peace deal might prompt a risk-on environment, driving demand away from the US dollar. 

For ASX investors, the sectors with the highest and most direct US dollar exposure are technology, building materials, and healthcare.

In the technology sector, around 85% of Life360 Inc (ASX: 360)'s revenue is generated in USD from the US domestic market. WiseTech Global Ltd (ASX: WTC) also changed its reporting currency to US dollars in 2024 after a large portion of its revenue mix became USD-denominated following major North American expansions.

In the healthcare space, CSL Ltd (ASX: CSL) and Resmed CDI (ASX: RMD) also report in US dollars. A strengthened US dollar diminishes CSL and Resmed's earnings. When non-US revenues are converted back into a strong USD, the translated revenue shrinks.

Similarly, in the building materials sector, James Hardie Industries Plc (ASX: JHX) also uses the USD as its primary reporting currency. 

US-focused exchange-traded funds

Of course, the election outcome could also directly impact ASX-listed exchange-traded funds (ETFs) that hold US stocks. 

These include popular ETFs like iShares S&P 500 AUD ETF (ASX: IVV) and BetaShares Nasdaq 100 ETF (ASX: NDQ), which have a large allocation to large US technology companies. 

This election season, the regulation of artificial intelligence and data centres has been a central campaign issue. Democrats generally favour stricter regulation, while Republicans are against it. Should Democrats gain power, more regulation in this space could be on the cards, which would be a negative for US technology companies.

Given this landscape, Betashares' head of investment strategy, Cameron Gleeson, has noticed a change in investor behaviour leading up to the election. 

As reported by the Australian Financial Review, Gleeson said flows into US-centric funds now account for just 7% of international equity inflows. For context, that's significantly down from the peak of 50%. 

Revisiting history

With the Democrats almost certain to take control of the House of Representatives, political gridlock is almost certain, regardless of the Senate outcome. That means neither party can pass legislation on its own over the next two years, making significant change far less likely. 

Markets generally prefer certainty, which gridlock can provide. 

During a Republican presidency, the S&P 500 Index (SP: .INX) has gained 16% on average in the calendar year following midterms when Democrats control both chambers of Congress. When control of Congress is divided between the parties, the average return has been higher at 23%.

However, every election is different. Past performance also does not guarantee future results. 

After a strong past few years of performance from the S&P 500, a post-midterm surge may also be less likely. 

However, as always, certain US and ASX shares will be positioned better than others based on the results. This gives investors the chance to look for compelling opportunities, regardless of the outcome.

The post How the US midterm elections could move 3 key types of ASX Stocks appeared first on The Motley Fool Australia.

Some investors want exposure to the world's fastest-growing companies, while others prefer something that provides a more balanced investment.

And then there are those who want to benefit from the enormous changes taking place in technology.

So, where does the popular NDQ ETF fit in? And could it be the best investment of the lot?

Why I rate the NDQ ETF so highly

The Betashares Nasdaq 100 ETF (ASX: NDQ) is one of my favourite ways to invest in the long-term growth of technology.

It tracks the Nasdaq-100 Index, providing investors with exposure to 100 of the largest non-financial companies listed on Nasdaq.

And some of those businesses are at the centre of the artificial intelligence (AI) revolution.

Take NVIDIA, for example. Its powerful chips have become essential for developing and running advanced AI systems, with demand coming from some of the world's largest technology companies.

Then there's Microsoft, which is investing heavily in AI while expanding its enormous cloud computing business.

These are two different businesses, but both have opportunities to benefit as AI becomes more widely adopted.

And they're far from alone. The NDQ ETF also owns companies developing advanced semiconductors, operating enormous digital platforms, and building the infrastructure needed to support new technologies.

I think that's an exciting collection of businesses to own.

Why the next decade could be rewarding

What I like about the NDQ ETF is that it gives investors exposure to companies shaping how the world operates.

Artificial intelligence is an obvious opportunity, but I think there's much more to the story.

Cloud computing, automation, digital advertising, ecommerce, and advances in semiconductor technology could all support earnings growth over the coming decade.

And many of the ETF's largest holdings already generate substantial profits, allowing them to keep investing in new opportunities.

Of course, that doesn't guarantee strong share price returns. Investors have high expectations for these businesses, and disappointing earnings or weaker enthusiasm for AI could cause significant volatility.

But I'm optimistic that technology will continue creating enormous wealth over time. And I think the NDQ ETF is exceptionally well-positioned to participate in that growth.

Is it the best ETF for everyone?

This is where I think the answer depends on what you're trying to achieve. The NDQ ETF has a significant concentration in technology and related sectors, with its largest holdings accounting for a substantial portion of the portfolio.

That's something I'd happily accept if my goal were to gain meaningful exposure to AI and technology.

But someone wanting a more balanced investment might prefer the Vanguard MSCI Index International Shares ETF (ASX: VGS).

It spreads investments across a much wider range of companies and industries in developed markets.

Alternatively, the Vanguard Diversified High Growth Index ETF (ASX: VDHG) offers a mixture of Australian and international shares, alongside a smaller allocation to bonds.

Both provide exposure to successful technology businesses while spreading investments more widely.

Foolish takeaway

I think the NDQ ETF deserves to be considered one of the best ETFs available to Australian investors.

If I wanted to invest in the AI revolution and the continued expansion of the world's leading technology companies, it would be near the top of my shopping list.

For someone seeking a more balanced investment, I'd probably look elsewhere. But for long-term technology exposure, I think the NDQ ETF is very difficult to beat.

The post Is NDQ the best ETF to buy? appeared first on The Motley Fool Australia.

I've been looking at three Betashares ETFs that provide exposure to different parts of the share market.

Could they be worth buying today?

Here's what I think.

Betashares Nasdaq 100 ETF (ASX: NDQ)

One of the reasons I like the NDQ ETF is that it provides investors with exposure to businesses changing how people live and work.

Think about how much time we spend using digital services, shopping online, watching streaming platforms, and relying on increasingly sophisticated technology.

Many of the companies behind these activities are included in the NASDAQ-100 Index (NASDAQ: NDX), which this Betashares ETF tracks.

And I think there are plenty of reasons to expect these businesses to keep growing.

Artificial intelligence (AI) is creating new opportunities for companies involved in cloud computing, semiconductors, and software. Meanwhile, digital advertising, e-commerce, and other online services continue to play important roles in the global economy.

Of course, valuations can be demanding in this area of the market, and the fund's concentration in large US technology-related companies creates additional risk. Nevertheless, I would be happy buying the NDQ ETF for the long term.

Betashares Australia 200 ETF (ASX: A200)

The next Betashares ETF I would buy takes us much closer to home.

The A200 ETF tracks an index of 200 of Australia's largest listed companies, providing investors with broad exposure to the local share market.

What I like about this fund is that Australian businesses can offer something quite different from the technology-heavy US market.

Banks, mining companies, supermarkets, and healthcare providers all play important roles in the Australian economy. And many have established businesses capable of generating profits and paying dividends through different economic conditions.

I think the income potential is also attractive for investors who want regular cash returns alongside long-term capital growth.

There is considerable exposure to banks and resources, so I would still want international investments alongside it. But I think the A200 ETF is an excellent option for building Australian share market exposure.

Betashares India Quality ETF (ASX: IIND)

The third Betashares ETF I would consider buying is the IIND ETF.

India is one of the markets I'm especially interested in over the next decade. Its expanding middle class, growing financial services industry, and continued investment in infrastructure could create significant opportunities for businesses operating there.

For example, as more people enter the formal banking system and businesses adopt digital services, companies providing those products could enjoy growing demand.

The IIND ETF provides exposure to Indian companies selected using financial quality measures.

I like that approach because strong profitability and financial health could be important when investing in a rapidly developing economy.

Overall, I think the country's long-term economic prospects make the Betashares India Quality ETF a compelling investment to consider.

Foolish takeaway

I would rate all three Betashares ETFs as buys for Australian investors with a long investment horizon.

I like how they provide access to established US businesses, the Australian share market, and India's growing economy.

There will no doubt be periods when one market performs better than the others. But I think owning businesses across these regions could be a sensible way to participate in several long-term growth opportunities.

The post Are NDQ and these Betashares ETFs buys for Australian investors? appeared first on The Motley Fool Australia.

The investments I'm going to talk about have already demonstrated their strategies are working and I'm expecting plenty more success in the years ahead.

The first is one of the ASX's leading exchange-traded funds (ETFs) and the second is a business exposed to one of Australia's longest-term tailwinds.

Betashares Nasdaq 100 ETF (ASX: NDQ)

This investment gives investors exposure to 100 of the largest non-financial companies on the NASDAQ. The NASDAQ is home to many of the world's leading technology businesses, so investors are getting significant exposure to tech businesses that are changing the world.

On 24 September 2026, its biggest positions were Nvidia, Apple, Alphabet, Microsoft, Micron Technology, Advanced Micro Devices, Amazon.com and Meta Platforms.

It's hard to say how the world will change from here, but I imagine technology will remain a key driver of change. New products and services can unlock earnings and expand existing revenue streams, like cloud computing and online shopping.

By the way, I'm calling this an ASX share because it's about investing in shares and we can buy it on the ASX.

The NDQ ETF holdings continue to see earnings growth, which can drive their share prices higher, which is a big tailwind for the returns of the NDQ ETF.

Impressively, the NDQ ETF has returned an average of 19.4% per year since inception in May 2025. In the past five years, it has returned an average of 14.2% per year. Of course, past performance is not a guarantee of future returns.

Over the next decade, I expect this collective group to continue delivering pleasing earnings growth, probably stronger than the overall global share market. Great businesses have a habit of continuing to deliver good performance.

Propel Funeral Partners Ltd (ASX: PFP)

Propel is the other ASX share I want to highlight. It is the second-largest funeral operator in Australia and New Zealand. Propel operates from 213 locations, including 42 cremation facilities and nine cemeteries.

Australia and New Zealand both have growing and ageing demographics, which means there's a tailwind for funeral volumes.

According to Propel and the Australian Bureau of Statistics (ABS), the number of deaths in Australia is projected to increase at a compound annual growth rate (CAGR) of 2.8% between 2026 and 2035 and then rise at a CAGR of a further 2.3% between 2036 to 2045.

FY26 was thankfully a challenging year for funeral volumes, with funeral volumes contracting by around 2%. To me, that suggests that funeral volumes are likely to be stronger in the medium term.

Funeral prices are steadily rising over time, which is another tailwind for revenue. In FY26, the average revenue per funeral was $6,673 – a comparable rise of 2% year-over-year.

The company is steadily expanding its geographic presence and scale, which should provide advantages in the coming years. Since FY26, it has deployed around $12 million on five acquisitions in New Zealand.

In July 2026, the first month of FY27, comparable average revenue per funeral rose 3%, and funeral volumes remained resilient despite the lowest recorded winter flu season in five years.

With Propel Funeral Partners' share price down 45% over the past year, it looks like a great time to be brave and invest.

The post 2 top ASX shares to buy and hold for the next decade appeared first on The Motley Fool Australia.

Most ASX ETFs, including the popular market-wide index funds like the Vanguard Australian Shares Index ETF (ASX: VAS), routinely offer dividend yields between 3% and 5%. It's sometimes more, and occasionally less, depending on investing conditions. But long story short, Australian-focused ETFs are usually generous income investments.

It is a wildly different story when it comes to US-centred funds, though.

Just this morning, my Fool colleague Bronwyn covered the latest payout from the popular iShares S&P 500 ETF (ASX: IVV). It is estimated that owners of this ASX ETF, which covers the S&P 500 Index (SP: .INX) over in the 'States, will receive a quarterly dividend distribution of 17.35 cents per unit next month.

Together with July's payout of 23.3 cents, April's 13.95 cents, and January's 20.14 cents, IVV units are set to sport an annual dividend distribution total of 74.74 cents per unit.

That would give the iShares S&P 500 ETF a rough dividend distribution yield of about 1.02% at current pricing.

The BetaShares Nasdaq 100 ETF (ASX: NDQ) is slightly more impressive with a current trailing yield of 1.43%.

Why do ASX ETFs pay higher dividends?

Unless you are looking at a US-based ETF that specifically targets delivering high levels of dividend income, chances are you won't be able to secure an investment with a dividend yield above 2% in current circumstances. That contrasts notably with ASX ETFs.

But why? If the US houses many of the world's highest-calibre companies, which it arguably does, where is the dividend income?

Well, the answer is a complex one. In my view, it comes down to a mix of structural and taxational differences between the United States and Australia.

Let's go through them.

The US markets are structured in a very different manner from the ASX. Here in Australia, the top echelons of our market are dominated by banks and resources stocks. These companies tend to pay out a relatively high proportion of their earnings as dividends. As ASX index funds must hold more of these stocks than any other, they inherit this high-yield nature.

US funds, franking and returns

In contrast, the US markets are spearheaded by tech giants, companies like Apple, Alphabet, NVIDIA, and Microsoft. Whilst enormously profitable, these companies tend to retain most of their earnings for reinvestment, rather than passing them onto shareholders as dividends.

When it comes to tax, ASX companies are incentivised to pay out a dividend to shareholders thanks to our unique system of franking. Franking is intended to prevent double taxation of dividend cash, but is highly advantageous for investors. Particularly those on high incomes. As such, ASX companies tend to start paying their shareholders dividends as soon as they are able to do so. However, in the US, tax treatment of dividends is far less generous. As such, those companies have more of an incentive to retain their cash for reinvestment.

This combination is why US-based ETFs tend to provide less income than their ASX counterparts. Investors shouldn't mind, though. US-based index funds have delivered far better overall returns over the past decade or two than their ASX counterparts. Only time will tell if that paradigm holds up going forward. But sometimes, a higher dividend yield doesn't mean a better investment.

The post Own US ETFs like IVV or NDQ? Here's why your dividends are so low appeared first on The Motley Fool Australia.

And with so many exchange traded funds (ETFs) available on the ASX, there are plenty of opportunities to consider.

Here are 10 ASX ETFs that could be worth keeping on your watchlist for 2027.

iShares S&P 500 ETF (ASX: IVV)

The iShares S&P 500 ETF could be a strong option for investors wanting exposure to the US share market.

It tracks 500 of America's largest listed companies, including global leaders across technology, healthcare, financial services, and consumer goods.

This could make it a good foundation for a long-term investment portfolio.

Vanguard Australian Shares Index ETF (ASX: VAS)

For investors wanting local exposure, the Vanguard Australian Shares Index ETF could be worth considering.

It tracks the S&P/ASX 300 Index (ASX: XKO), giving investors access to a large collection of Australian stocks.

The fund also provides exposure to the dividends and potential franking credits that make Australian shares popular with income investors.

Vanguard FTSE All-World ex-US Shares Index ETF (ASX: VEU)

The Vanguard FTSE All-World ex-US Shares Index ETF offers exposure to companies outside the United States.

This includes developed and emerging markets across Europe, Asia, and other regions.

It could be particularly attractive for investors who already have significant US exposure and want to diversify internationally.

Betashares Nasdaq 100 ETF (ASX: NDQ)

Another ASX ETF to watch is the Betashares Nasdaq 100 ETF.

This fund invests in 100 of the largest non-financial companies listed on the Nasdaq exchange.

It offers exposure to businesses involved in artificial intelligence, cloud computing, software, digital advertising, and other major technology industries.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The Betashares Asia Technology Tigers ETF could be an exciting option for 2027.

It provides exposure to leading Asian technology companies across semiconductors, ecommerce, gaming, hardware, and digital platforms.

Asia's important position in the global technology industry and its enormous consumer markets could support growth over the long term.

Betashares Global Cybersecurity ETF (ASX: HACK)

Cybersecurity could remain a major investment theme in 2027.

The Betashares Global Cybersecurity ETF invests in companies helping businesses protect their networks, cloud systems, devices, and data.

As artificial intelligence and other technologies become more widely adopted, demand for cybersecurity services is likely to continue increasing.

Global X AI Infrastructure ETF (ASX: AINF)

Another technology-focused option is the Global X AI Infrastructure ETF.

This fund provides exposure to companies building the infrastructure needed to support artificial intelligence.

That includes semiconductors, data centre equipment, networking technology, electricity infrastructure, and cooling systems.

The enormous investment going into AI infrastructure could bode well for its holdings.

VanEck MSCI International Quality ETF (ASX: QUAL)

The VanEck MSCI International Quality ETF takes a different approach.

It invests in international companies with strong profitability, healthy balance sheets, and relatively stable earnings.

This could make it attractive for investors wanting exposure to financially strong businesses rather than broad market exposure.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

The VanEck Morningstar Wide Moat ETF could also be worth watching.

It focuses on US companies believed to have sustainable competitive advantages and attractive valuations.

This approach could appeal to investors looking for quality businesses with the potential to compound earnings over many years.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

Finally, the Betashares Global Cash Flow Kings ETF could be an ASX ETF to consider for 2027. It offers exposure to companies generating strong free cash flow.

These businesses have greater flexibility to invest in growth, pay dividends, reduce debt, or repurchase shares.

That financial strength could be valuable as investors navigate whatever market conditions next year brings.

The post 10 top ASX ETFs to watch in 2027 appeared first on The Motley Fool Australia.

If you're bullish on this technology, you might want to know which is the best way to put your money where your mouth is. So today, let's go through what the best way to invest in AI might be here on the ASX.

Right off the bat, you might see a thematic ASX ETF with 'AI' in its name as the best port of call. The Global X Artificial Intelligence ETF (ASX: GXAI) is a great example. A fund of this nature will certainly get you some of the world's most prominent and dominant AI stocks. For example, some top holdings of GXAI include Palantir Technologies, SpaceX, Microsoft Corporation, Meta Platforms, and Tesla. Those are just some of this fund's (current) 88 holdings.

Another option might be the BetaShares NASDAQ 100 ETF (ASX: NDQ). Now, this ASX ETF doesn't have AI in its name or in its mission statement. However, the index that it tracks, the NASDAQ 100, naturally contains most of the leading AI stocks on the US markets. AI leaders like NVIDIA, Alphabet, Micron Technologies, Advanced Micro Devices, and Apple are all amongst its largest holdings. As are Meta Platforms, Microsoft, SpaceX, Palantir and Tesla.

Plus, you get some high-quality companies that aren't necessarily AI leaders thrown in too. That includes Amazon, Walmart, and Netflix.

Either (or both ) of these ASX ETFs would give an ASX investor plenty of exposure to artificial intelligence, all in one easy place.

ASX AI ETFs? Think outside the box for a cheaper fee

However, there is a cheaper option. See, neither of the two ASX ETFs named above are cheap, relatively speaking. The Global X Artificial Intelligence ETF charges an annual management fee of 0.57%. NDQ asks 0.48% per annum.

In contrast, a market-wide US index fund, such as the iShares S&P 500 ETF (ASX: IVV) asks just 0.04% per annum. That's a difference between paying $64 a year for every $10,000 invested and paying $4 a year for that same $10k. That may not sound like a lot, but it does add up if one is investing for long periods of time.

Sure, the iShares S&P 500 ETF doesn't invest in AI specifically. It is a lot more diversified than even the BetaShares Nasdaq 100 ETF. But it still offers significant exposure to many of the companies that are leading the AI race. Amongst its top holdings, you'll find Nvidia, Apple, Microsoft, Alphabet, Meta Platforms, Micron Technology, Tesla, and AMD.

To round up, all of these ASX ETFs will provide an investor with some level of exposure to some of the world's best AI stocks. If you want the purest, most direct AI investment, then the Global X Artificial Intelligence ETF is your best bet. But less-picky investors may want to consider the far cheaper, yet still AI-centred S&P 500 ETF.

The post Want to invest in AI? Here are the best ASX ETFs for 2027 appeared first on The Motley Fool Australia.

It has been around long enough that the basic story is familiar, but I still think there are good reasons to consider it today.

If I had $10,000 to invest for long-term growth, these are the three reasons the NDQ ETF would be on my shortlist.

It gives me something the ASX cannot

The first reason is simple. The Australian share market has plenty of strong businesses, but it does not have many companies operating at the forefront of global technology.

The NDQ ETF changes that. It gives investors exposure to large Nasdaq-listed businesses across software, semiconductors, e-commerce, digital advertising, cloud computing, biotechnology, and other areas that are difficult to access through the ASX.

This includes Apple, Nvidia, Broadcom, and Tesla.

For me, that makes the Betashares Nasdaq 100 ETF particularly attractive alongside Australian shares.

The winners can keep getting bigger

Another thing I like about the NDQ ETF is that it gives successful businesses room to become more important within the portfolio.

The Nasdaq-100 is weighted towards its largest companies, so businesses that grow into global leaders can make a meaningful contribution to returns.

Concentration is something I would think carefully about. The Betashares Nasdaq 100 ETF can become heavily influenced by a relatively small group of companies, particularly when the largest technology businesses are performing strongly.

But I do not necessarily see that as a weakness.

If I already had diversification elsewhere, I might actually want part of my portfolio focused on companies with dominant market positions and large opportunities still ahead of them.

That is a different job from a broad-market ETF, and I think the NDQ ETF can do it well.

AI is only part of the opportunity

Artificial intelligence (AI) is an obvious reason investors are interested in the Nasdaq today, but I would not want the entire investment case resting on AI.

What I want is the wider technology ecosystem around it.

More computing power means greater demand for semiconductors and data centres. Businesses are continuing to move workloads into the cloud. Digital advertising, e-commerce, cybersecurity, automation, and online services are still evolving.

Many Nasdaq-100 companies sit across several of those trends at once.

That gives the NDQ ETF more than one way to benefit as technology spending changes over time.

There will undoubtedly be periods when these shares fall, particularly if valuations become stretched or investors move away from growth stocks.

But with a long enough timeframe, I would be prepared to accept that volatility.

Foolish takeaway

For me, the NDQ ETF has a strong long-term case.

It gives investors access to some of the world's largest technology and growth businesses in a single ASX investment, with exposure to several trends that could continue to expand for years.

If I had $10,000 available for long-term growth, the Betashares Nasdaq 100 ETF would be one of the ETFs I would be happy to own.

The post 3 reasons I'd invest $10,000 into the NDQ ETF appeared first on The Motley Fool Australia.

But if you're not a fan of stock picking, then it can all become too hard.

The good news is that ASX exchange traded funds (ETFs) are here to save the day.

They allow investors to buy large groups of shares in one fell swoop, removing the need to pick individual stocks.

But which ASX ETFs could be great buy and hold picks? Let's look at five that could be worth considering for the next two decades.

iShares S&P 500 ETF (ASX: IVV)

The first ASX ETF to consider is the iShares S&P 500 ETF. It gives investors exposure to 500 of the largest listed companies in the United States.

That includes businesses involved in technology, healthcare, financial services, consumer products, industrials, and other industries. Holdings include Apple (NASDAQ: AAPL), Nvidia (NASDAQ: NVDA), and ExxonMobil (NYSE: XOM).

What makes this ETF attractive over a 20-year period is the quality of the companies it holds. Many have strong competitive positions, enormous financial resources, and the ability to keep investing in new products, technologies, and markets. 

That could make the iShares S&P 500 ETF a strong option for Australian investors wanting long-term exposure to some of the world's most successful businesses.

Betashares Nasdaq 100 ETF (ASX: NDQ)

Another ASX ETF that could be worth buying and holding is the Betashares Nasdaq 100 ETF.

This hugely popular fund provides exposure to 100 of the largest non-financial companies listed on the Nasdaq exchange.

Many of these businesses are involved in areas such as artificial intelligence, cloud computing, software, semiconductors, ecommerce, and digital advertising.

Over the next two decades, these businesses could benefit from continued technological change across the global economy.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The Betashares Asia Technology Tigers ETF could also be worth considering.

It invests in leading Asian technology companies, giving investors exposure to businesses involved in semiconductors, ecommerce, gaming, hardware, and digital platforms.

Asia is home to some of the world's most important technology manufacturers and enormous consumer markets.

As the region's economies develop and technology adoption continues, its leading companies could have significant opportunities to grow.

Betashares Global Cybersecurity ETF (ASX: HACK)

A fourth ASX ETF to consider for the next 20 years is the Betashares Global Cybersecurity ETF.

This fund invests in companies providing cybersecurity products and services.

These businesses help protect networks, cloud systems, devices, data, payments, and digital identities.

As more businesses adopt artificial intelligence, cloud computing, and connected technologies, keeping systems secure is likely to become increasingly important.

This bodes well for the companies held by this fund.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

Finally, the VanEck Morningstar Wide Moat ETF could be a strong buy and hold option.

This fund focuses on US companies that have sustainable competitive advantages and are trading at attractive valuations.

These advantages can include strong brands, intellectual property, cost advantages, and customers that are difficult to lose.

This is a philosophy that has helped investors such as Warren Buffett build enormous wealth over time.

Over a 20-year period, owning quality businesses with the ability to protect their profits and compound earnings could be a very sensible approach.

The post 5 ASX ETFs for Aussie investors to buy and hold for 20 years appeared first on The Motley Fool Australia.

SMSF investors have more flexibility than other superannuation investors about where to put their money. ASX shares have the biggest allocation, followed by owned property, cash and term deposits, managed funds, exchange-traded funds (ETFs), unlisted trusts, 'other', international shares and finally debt securities.

Let's see which ASX shares are the most popular within SMSF portfolios.

The most popular ASX shares

SMSF cloud accounting software provider Class recently released its 2026 annual benchmark report, which gave a lot of insights into the SMSF landscape. Class is owned by Hub24 Ltd (ASX: HUB).

At 30 June 2026, there were 12 ASX shares that were held in at least 20% of SMSF portfolios:

• BHP Group Ltd (ASX: BHP) – 46.6% of all SMSF portfolios
• Woodside Energy Group Ltd (ASX: WDS) – 37.2%
• National Australia Bank Ltd (ASX: NAB) – 34.4%
• Westpac Banking Corp (ASX: WBC) – 34.1%
• ANZ Group Holdings Ltd (ASX: ANZ) – 34.1%
• Commonwealth Bank of Australia (ASX: CBA) – 31.9%
• CSL Ltd (ASX: CSL) – 31.4%
• Telstra Group Ltd (ASX: TLS) – 31.4%
• Wesfarmers Ltd (ASX: WES) – 29.4%
• Macquarie Group Ltd (ASX: MQG) – 29.5%
• Woolworths Group Ltd (ASX: WOW) – 24.1%
• Rio Tinto Ltd (ASX: RIO) – 21.8%

It makes sense that these ASX shares have been chosen by SMSF investors. Almost all of them have a solid dividend yield. Passive income may be exactly what investors in retirement are looking for.

I think it's interesting that BHP and Woodside appear in the most portfolios. But it's also intriguing that NAB, Westpac and ANZ all feature in more portfolios than CBA. Commonwealth Bank also has the lowest dividend yield of the big four banks.

However, while they are in more portfolios, things look different when looking at which ASX shares have the most overall SMSF dollars invested in them.

According to Class data, order of most dollars allocated to ASX shares (with a weighting of more than 2%):

• CBA – 5.9%
• BHP – 5.5%
• Westpac – 3.6%
• NAB – 3.4%
• ANZ – 3.2%
• Wesfarmers – 3.2%
• Macquarie – 3.1%
• Telstra – 2%

ASX bank shares still have a very large place in SMSF portfolios, though BHP has significant SMSF dollars invested in it too.

What about exchange-traded funds (ETFs)?

ETFs are becoming increasingly popular investors as a way to gain exposure to certain sectors or geographies for a low cost.

According to the Class SMSF benchmark report, 35.5% of SMSFs now own at least one ETF, though they only account for a 7.2% allocation of overall SMSF dollars.

The ASX ETFs that are the most widely held include:

• Vanguard Australian Shares Index ETF (ASX: VAS)
• iShares S&P 500 ETF (ASX: IVV)
• VanEck MSCI International Quality ETF (ASX: QUAL)
• Vanguard Msci Index International Shares ETF (ASX: VGS)
• Vanguard All-World ex-US Shares Index ETF (ASX: VEU)
• Betashares Nasdaq 100 ETF (ASX: NDQ)

If SMSF investors use a mix of investments, they can build an ASX share portfolio that delivers strong returns and diversification.

The post Here are the most popular ASX share superannuation investments in SMSFs appeared first on The Motley Fool Australia.

But when I can, I plan to invest $50,000 of my super balance into three distinct ASX exchange traded funds (ETFs).

I also plan to invest some of my superannuation into a diverse basket of ASX growth shares and ASX passive income stocks.

But I believe the below three ASX ETFs provide a simple means to invest $50,000 into a very diversified collection of quality global and Aussie companies.

So, which ETFs am I eyeing?

Three ASX ETFs I'd buy with $50,000 of superannuation

First up, and as an Australian, I'd invest part of that $50,000 in superannuation in the Vanguard Australian Shares Index ETF (ASX: VAS).

With a management fee of 0.07% per year, this ASX ETF gives you immediate exposure to the 300 companies listed on the S&P/ASX 300 Index (ASX: XKO). VAS seeks to track the return of the ASX 300 Index and provide both long-term capital growth and some passive income.

The ETF's top three holdings are BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA) and National Australia Bank Ltd (ASX: NAB) shares.

As at 31 August, Vanguard Australian Shares Index ETF has delivered a total five-year return (including reinvested dividends) of 44%. That equates to an annualised return of around 7.6%.

Which brings us to the second ASX ETF I'd invest part of my $50,000 of superannuation in, the Betashares Nasdaq 100 ETF (ASX: NDQ).

I believe the tremendous outperformance we've seen from the US tech giants, while it may retrace short term, will continue apace over the longer-term, fuelled by the AI revolution.

With an annual management fee of 0.48%, NDQ aims to track the performance of the Nasdaq 100 Index. In other words, the largest non-financial companies listed on the Nasdaq, most of which have direct connections to the new economy.

The ETF's largest holdings are Nvidia Corp (NASDAQ: NVDA), Apple Inc (NASDAQ: AAPL) and Microsoft Corp (NASDAQ: MSFT).

As at 18 September, over the past five years NDQ has returned an annualised gain of 14.2%.

And the third ASX ETF I'd buy with some of my $50,000 in superannuation is the Vanguard All-World ex-US Shares Index ETF (ASX: VEU).

This third investment, as you can likely tell from its name, will materially help diversify my retirement portfolio. And the management fee is a low 0.04% per year.

VEU offers exposure to some of the world's largest companies that are listed in major developed and emerging countries outside the United States.

Its top three holdings are Taiwan Semiconductor Manufacturing Co Ltd (TPE: 2330), Samsung Electronics Co Ltd (KRX: 005930) and SK Hynix Inc (KRX: 000660).

As at 31 August, the Vanguard All-World ex-US Shares Index ETF has delivered a total five-year return of 61.4%. That equates to an annualised return of approximately 10.0%.

Based on historical five-year returns, if I invest an equal portion of my $50,000 superannuation in each ASX ETF, I can expect an annual return of 10.6%.

The post Why I'd invest $50,000 of superannuation into these 3 top ASX ETFs appeared first on The Motley Fool Australia.

• Pure-play artificial intelligence companies – Companies whose main business is building AI models and software. A direct bet on AI.
• Hyperscalers – Big tech companies like Microsoft and Amazon that spend heavily on AI and make money through their cloud and AI products.
• Picks and shovels – Companies that provide the infrastructure AI needs, such as data centres, chips, memory, power, and cooling.

There are pros and cons to each part of this chain. The choice comes down to each investor's individual goals and beliefs on the AI buildout. 

What are the pros and cons?

Firstly, looking at the pure-play companies, the positive to targeting these stocks is that you have the highest direct exposure to AI growth. This gives you potential for exposure to rapid revenue growth if a company's AI product takes off.

On the flip side, there may be a higher risk and volatility.

Competition is intense, valuations can be high, and companies may struggle to turn AI demand into profits.

Looking at the hyperscalers, these huge existing businesses provide diversification. 

Strong cash flows allow them to spend billions on AI infrastructure, which can generate revenue through cloud, software, and advertising. 

However, the negative side is that AI is only part of the overall business, so the upside is less concentrated. 

Additionally, massive AI spending also creates high capital requirements and potential pressure on returns. 

Finally, the picks and shovels stocks.

The argument for these companies is that you can benefit from many AI companies spending on infrastructure, rather than needing one AI model to win. 

The main drawback is that these companies are often capital-intensive and cyclical, making them vulnerable to oversupply, falling prices, and shifts in AI infrastructure spending.

How to target each layer

For investors looking for options at each level of this buildout, there are several ASX ETFs to consider. 

For investors looking to target pure-play AI, one option is the Global X Artificial Intelligence ETF (ASX: GXAI). 

It offers exposure to companies directly involved in AI, including AI software, services, and supporting hardware.

For investors looking for exposure to hyperscalers, an option to consider is BetaShares Nasdaq 100 ETF (ASX: NDQ). 

It provides exposure to major US tech companies investing heavily in cloud and AI products. 

Finally, for investors seeking a picks and shovels approach, Global X AI Infrastructure ETF (ASX: AINF) and Global X Semiconductor ETF (ASX: SEMI) are worth considering. 

They focus on the physical backbone of AI, including power, data centres, semiconductors, connectivity, and raw materials.

The post How to target the different layers of the artificial intelligence buildout appeared first on The Motley Fool Australia.

The survey showed ASX shares investors are still buying despite today's economic uncertainty and trading volatility.

The most common way people are adding to their portfolios is via ETFs, the survey found.

About 48% of respondents have raised their investment in ETFs compared to 38% for ASX shares and 21% for US stocks.

Investors felt the most confidence in ETFs when considering which asset classes would perform best over the next six months.

About 29% said they expected ETFs to do best, followed by US shares at 21%, global shares at 16%, ASX shares at 16%, and commodities at 14%.

Fraser Allan, Head of Premium Client Management at CMC, said index investing "has become the default".

When investors and traders are uncertain, they're not going to cash and they're not stock-picking their way out of it.

They're buying the market and getting diversified exposure to local and international markets through a handful of very large, very liquid ETFs.

CMC Invest's 2026 H1 Inside Invest Report found four ASX ETFs account for about 75% of the top 10 orders placed by CMC clients.

Big 4 ASX exchange-traded funds

According to CMC, the most popular ETFs among its clients are as follows.

1. iShares S&P 500 ETF (ASX: IVV)

IVV ETF tracks the American benchmark index, the S&P 500 Index (SP: INX).

The S&P 500 has substantially outperformed the S&P/ASX 200 Index (ASX: XJO) over the past three years.

In fact, in FY26, US stocks delivered 3 times the total return of ASX 200 shares at 22% versus 7%.

Experts say the performance gap is attributable to the artificial intelligence (AI) investment boom led by the US.

IVV provides exposure to the AI 'hyperscalers', Meta Platforms, Amazon, Alphabet, and Microsoft shares.

The buy:sell split among CMC client orders in 1H FY26 was 94% to 6%.

IVV ETF has risen 5% in the calendar year to date (YTD).

2. Vanguard Msci Index International Shares ETF (ASX: VGS)

VGS ETF tracks the MSCI World ex-Australia (with net dividends reinvested) in Australian dollars Index.

This ASX ETF provides exposure to 1,300 international shares with an almost 80% leaning to the US market.

The buy:sell split among CMC client orders in 1H FY26 was 96% to 4%.

VGS ETF has increased 4% in the YTD.

3. Vanguard Australian Shares Index ETF (ASX: VAS)

VAS ETF tracks the S&P/ASX 300 Index (ASX: XKO), providing exposure to Australia's 300 largest listed companies.

They include BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), and Wesfarmers Ltd (ASX: WES).

The buy:sell split among CMC client orders in 1H FY26 was 93% to 7%.

VAS ETF has risen 1% in the YTD.

4. BetaShares Nasdaq 100 ETF (ASX: NDQ)

NDQ ETF tracks the tech-heavy NASDAQ-100 Index (NASDAQ: NDX).

The buy:sell split among CMC client orders in 1H FY26 was 92% to 8%.

NDQ ETF has lifted 7% in the YTD.

The post 4 most popular ASX ETFs revealed: survey appeared first on The Motley Fool Australia.

But investors do not have to find the next Nvidia or pick which software company will ultimately come out on top.

ASX exchange traded funds (ETFs) can provide a simpler way to gain exposure to the theme.

Here are three very different options. Investors could choose the one that best suits their portfolio, or potentially own more than one.

Betashares Nasdaq 100 ETF (ASX: NDQ)

The Betashares Nasdaq 100 ETF could be a good option for investors who want AI exposure without making it the entire investment case.

The fund tracks 100 of the largest non-financial companies listed on the Nasdaq exchange.

That includes businesses involved in semiconductors, cloud computing, software, digital advertising, ecommerce, and consumer technology.

Many of these companies are investing heavily in AI or are providing the infrastructure needed to support it. This includes Microsoft (NASDAQ: MSFT), Nvidia (NASDAQ: NVDA), and Google parent Alphabet (NASDAQ: GOOG).

Overall, this gives investors exposure to the theme while still owning a wider collection of leading growth companies.

Betashares Global Robotics and Artificial Intelligence ETF (ASX: RBTZ)

Another option is the Betashares Global Robotics and Artificial Intelligence ETF.

This fund gives investors exposure to companies involved in robotics, automation, artificial intelligence, drones, autonomous systems, and related technologies.

I think this is an interesting way to approach AI because it looks beyond chatbots and software.

AI can also help machines perform more complicated tasks in factories, warehouses, hospitals, farms, and logistics networks.

Businesses around the world are constantly looking for ways to lift productivity and automate repetitive work.

If that continues, robotics and intelligent machines could become far more common over the next decade.

Global X Artificial Intelligence ETF (ASX: GXAI)

For investors wanting more direct exposure to the AI theme, the Global X Artificial Intelligence ETF could be worth considering.

This fund invests across different parts of the AI ecosystem.

That can include companies involved in semiconductors, software, cloud computing, data infrastructure, automation, and other technologies needed to develop and deploy artificial intelligence.

The good thing here is that nobody really knows where all the winners will come from.

Some winners could build AI models. Others could supply the chips, computing power, software tools, or infrastructure required to run them.

The Global X Artificial Intelligence ETF gives investors a way to back that wider opportunity rather than trying to identify one company that will dominate the AI era.

The post 3 ASX ETFs for easy artificial intelligence (AI) exposure appeared first on The Motley Fool Australia.

For investors building a portfolio for the long haul, these funds can provide a simple way to gain exposure to hundreds of companies. Vanguard Australian Shares Index ETF (ASX: VAS) and BetaShares Australia 200 ETF (ASX: A200) target the local market, while Vanguard MSCI Index International Shares ETF (ASX: VGS) and BetaShares Nasdaq 100 ETF (ASX: NDQ) give investors access to overseas markets.

But which funds have delivered the goods?

VAS: the Australian market workhorse

The top Vanguard ETF offers exposure to the 300 largest companies listed on the ASX, providing investors with a straightforward way to own a slice of corporate Australia.

Its recent performance has been underwhelming, falling around 3% over the past month and 1% over 12 months. But short-term performance isn't necessarily the main attraction.

VAS provides broad exposure across Australian industries and a relatively attractive income stream. Commonwealth Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP) are among its largest holdings, each representing more than 10% of the portfolio.

The fund's dividend yield is around 3.7%, although investors should remember that Australian equities are heavily concentrated in financials and resources.

A200: low-cost Australian exposure

BetaShares Australia 200 ETF (ASX: A200) offers a similar proposition to the Vanguard ETF VAS, tracking the 200 largest Australian companies.

It has also struggled recently, down around 3% over the past month and 1% over 12 months.

Where A200 really stands out is cost. Its management fee is just 0.04%, while funds under management have climbed to around $11 billion.

Like VAS, its largest holdings include CBA and BHP, so investors face a similar concentration risk.

For a low-cost Australian core holding, however, A200 remains difficult to overlook.

VGS: taking the portfolio global

VGS tackles one of the biggest drawbacks of an Australia-only portfolio: concentration.

The Vanguard ETF provides exposure to developed international markets and has returned around 8% over the past year.

The US accounts for a significant portion of the portfolio, with technology heavyweights including Apple Inc (NASDAQ: AAPL) and Nvidia Corp (NASDAQ: NVDA) among its largest holdings, each representing more than 5% at the time of writing.

That international diversification opens the door to industries and companies that have a much smaller presence on the ASX.

NDQ: the growth bet

If A200 is the steady option, ASX: NDQ is the higher-octane alternative.

NDQ has gained around 11% over one year and an impressive 75% over five years, powered by its exposure to technology and other US growth companies.

Nvidia and Apple are among its biggest holdings, while the fund's 0.48% management fee is considerably higher than the 0.18% that Vanguard ETF VGS charges.

After such a powerful run, the question for investors is whether they're buying tomorrow's growth or yesterday's winners.

Foolish takeaway

There isn't one obvious winner. A200 has the cost advantage, VAS offers broad Australian exposure, VGS provides greater diversification, while NDQ has delivered the strongest growth.

For long-term investors, the better choice may depend less on picking a winner and more on combining complementary ETFs.

The post Vanguard ETFs vs. Betashares ETFs: Who's coming out on top? appeared first on The Motley Fool Australia.

That is why I think ASX exchange traded funds (ETFs) can be such a good fit for long-term investors.

They allow investors to back markets, investment styles, and major trends without needing every individual stock pick to work out.

With that in mind, here are three ASX ETFs that I think could be excellent buy and hold options for the next 10 years.

Betashares Nasdaq 100 ETF (ASX: NDQ)

The Betashares Nasdaq 100 ETF could be a strong option for investors who want long-term exposure to some of the world's leading growth companies.

The fund tracks 100 of the largest non-financial companies listed on the Nasdaq exchange. That means investors gain exposure to businesses involved in artificial intelligence, cloud computing, software, semiconductors, ecommerce, digital advertising, streaming, and consumer technology.

I think technology is likely to keep playing a larger role in how businesses operate and how people work, shop, communicate, and spend their time over the next decade. The Betashares Nasdaq 100 ETF gives investors a way to own a collection of businesses at the centre of that change, such as Nvidia (NASDAQ: NVDA), Apple (NASDAQ: AAPL), and Microsoft (NASDAQ: MSFT).

Vanguard All-World ex-US Shares Index ETF (ASX: VEU)

The Vanguard All-World ex-US Shares Index ETF is another ASX ETF to consider for the long term.

This fund gives investors exposure to a large group of companies outside the United States, including businesses across Europe, Japan, Asia, emerging markets, and other parts of the world. That can be valuable for investors who already have plenty of US exposure.

After all, the next decade will not necessarily be dominated by one country or one market.

This ASX ETF allows investors to participate if growth comes from areas such as Asian consumer spending, European industrials, Japanese companies, emerging market financials, or global healthcare. It is a simple way to spread investments across a very large part of the global economy.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

A third ASX ETF to consider is the VanEck Morningstar Wide Moat ETF.

This fund takes a selective approach to buying US shares. Rather than simply buying the biggest companies, it focuses on businesses believed to have sustainable competitive advantages and attractive valuations.

Those advantages could come from strong brands, cost leadership, intellectual property, network effects, or customers that are difficult to lose.

This could be a good thing when investing over a 10-year period. Businesses with genuine competitive advantages have a better chance of protecting profits and compounding earnings for many years.

The valuation discipline is important as well, because even a great company can be a poor investment if investors pay far too much for it.

For investors looking for a more selective way to own quality US businesses, I think the VanEck Morningstar Wide Moat ETF could be a strong long-term choice.

The post 3 of the best ASX ETFs to buy and hold for 10 years appeared first on The Motley Fool Australia.

Two popular choices are BetaShares Nasdaq 100 ETF (ASX: NDQ) and iShares S&P 500 ETF (ASX: IVV). Both provide exposure to US equities, but they serve different purposes.

NDQ: The growth-focused option

NDQ has around $9 billion in funds under management and tracks the NASDAQ-100 Index (NASDAQ: NDX), giving investors exposure to many of America's biggest technology and growth companies.

The appeal of this ASX ETF is straightforward: if US mega-cap technology and artificial intelligence stocks continue outperforming, NDQ could benefit disproportionately.

Its largest holdings include Nvidia, Apple, and Microsoft, giving investors significant exposure to some of the market's biggest growth engines.

But that concentration is also a risk. NDQ is less diversified than a broad-market ETF and can be more vulnerable if technology valuations fall or growth stocks fall out of favour.

The trade-off has been strong historical performance. NDQ has returned around 13% over one year, 6.5% year to date, and 442% over 10 years.

The downside? Investors pay a 0.48% management fee, considerably more than IVV.

IVV: The diversified alternative

IVV takes a broader approach, tracking the S&P 500 Index (SP: .INX), an index covering roughly 500 large US companies. It has around $14.5 billion in FUM, making it one of Australia's largest ASX ETFs.

There is significant overlap between IVV and NDQ, particularly among the mega-cap technology stocks. However, IVV also provides exposure to a much broader range of sectors and businesses.

That diversification is arguably IVV's biggest attraction. Investors still participate in the growth of companies such as Nvidia, Apple, and Microsoft, but aren't making quite as concentrated a bet on technology.

IVV has delivered around 8% over one year, 5% year to date, and 271% over 10 years.

Its other major advantage is cost. IVV charges just 0.04% a year, versus 0.48% for NDQ.

So, which ASX ETF is better?

It ultimately depends on what investors want.

NDQ could be the better choice for investors deliberately seeking higher exposure to US technology and growth stocks, and who are comfortable with greater concentration and volatility.

IVV looks more compelling as a core US equity holding, offering broader diversification and an exceptionally low fee.

For investors who simply want long-term exposure to the US market without making a concentrated technology bet, IVV could be the better all-round ASX ETF.

The post NDQ vs IVV: One could be the better US growth ASX ETF appeared first on The Motley Fool Australia.

Between them, VAS, VGS, and NDQ manage more than $52 billion.

Popularity and performance are not the same thing, though.

So here is how the most widely held funds on the local market have actually done over the last year.

1. Vanguard Australian Shares Index ETF

The Vanguard Australian Shares Index ETF (ASX: VAS) is the largest fund on the ASX.

The ETF held $26.19 billion as of 31 July and charges just 0.07% per year, which works out to $7 annually on a $10,000 holding.

The fund tracks the S&P/ASX 300 Index (ASX: XKO) across 321 holdings.

Its total return over the twelve months to 31 July was 5.79%, of which 3.13% arrived as distributions.

Across a decade, the ETF has compounded at 8.92% a year.

Those figures are quite respectable, but not as strong as the next two.

2. Vanguard MSCI Index International Shares ETF

The Vanguard MSCI Index International Shares ETF (ASX: VGS) is the international counterweight most Australians own alongside VAS.

The ETF manages $17.21 billion and charges 0.18% per year for exposure to 1,247 companies across developed markets.

The United States accounts for 73.2% of the portfolio, followed by Japan at 5.8% and the United Kingdom at 3.7%.

VGS returned 10.47% over the same twelve months and 13.79% a year over the past decade.

3. Betashares Nasdaq 100 ETF

The Betashares Nasdaq 100 ETF (ASX: NDQ) is the most aggressive of the three ETFs, but also the most expensive at 0.48% in fees a year.

The fund holds roughly $8.7 billion and buys the 100 largest non-financial companies listed on the Nasdaq.

Information technology represents 58.2% of the fund, with communication services at 13.7% and consumer discretionary at 11.2%.

The fund's trailing distribution yield is only 1.5%, so the fund's return comes primarily as capital growth.

Over the past twelve months, NDQ has returned roughly 12%, which puts it narrowly ahead of the field.

Which of these ASX ETFs performed best?

The differences in performance are not really about fund selection, but rather reflect a year in which American technology earnings kept growing as the Australian index leaned on slower-growth banks and miners.

A softer Australian dollar flattered both offshore funds along the way, since their assets are unhedged.

Foolish takeaway

One year of performance tells you almost nothing about which of these ASX ETFs deserves your money.

The ten-year numbers are far more instructive: I would still start with VAS for franking credits and VGS for a strong geographic spread.

NDQ is the satellite holding. With 58% of holdings in the technology sector, this fund is a concentrated bet and carries more risk than the other three.

The post These are the most popular ASX ETFs. Which has performed best over the last year? appeared first on The Motley Fool Australia.