In a new report, Wickenden says the longer-term impact of the Iran war will centre around global energy self-sufficiency.

Investors have responded by ploughing funds into 5 ASX ETF thematics.

Let's take a look.

Energy producers

An example is the Global Energy Companies Currency Hedged ETF (ASX: FUEL), which is 30% higher in the year to date (YTD).

Another example is the commodity-price-based energy ETF, Betashares Crude Oil Index Currency Hedged Complex ETF (ASX: OOO).

OOO ETF was the best performer among the more than 400 ASX ETFs on the market last month, returning 55% due to the global oil shock.

Uranium

Betashares offers investors the Global Uranium ETF (ASX: URNM), which is up 15% in the YTD.

The uranium arena is volatile, however, James Gerrish from Market Partners says small modular reactors are the way of the future.

In a recent Money Matters newsletter, Gerrish said:

Nuclear power accounts for ~10% of global electricity generation today with demand set to rise substantially over the coming years as AI usage ratchets up.

With the uranium market transitioning into a structural tightening phase, and a high probability of deficit emerging later this decade, the URNM ETF should push higher in the coming years.

Defence

Vaneck Global Defence ETF (ASX: DFND) is one of the most popular defence ETFs on the market today.

DFND ETF has risen 34% over the past 12 months amid NATO committing to a substantial lift in defence spending at America's urging.

Critical minerals

Australia's last mining boom, from the early 2000s through to 2013, was mainly driven by iron ore and coal exports to China.

Experts say the next one already underway is being driven by critical minerals tied to electrification, power generation, and energy security.

They include copper, uranium, lithium, rare earths, and silver.

Betashares Energy Transition Metals ETF (ASX: XMET) was among the 6 best-performing international shares-based ASX ETFs last year.

XMET ETF delivered a 100% return while Global X Green Metal Miners ETF (ASX: GMTL) returned a similarly impressive 81%.

Agricultural commodities

The oil shock has sparked concern over the global supply of fertiliser, which is crucial for crop production.

Natural gas is a key feedstock for nitrogen-based fertilisers like ammonia and urea.

This means higher oil and gas prices can significantly increase fertiliser costs.

Betashares offers the Global Agriculture Companies Currency Hedged ETF (ASX: FOOD), which has risen 41% over the past year.

The post 5 thematics driving ASX ETF investment today: expert appeared first on The Motley Fool Australia.

Investors poured into oil focussed equities during the month of March. 

Meanwhile, bear focussed ASX ETFs also outperformed. 

"Bear-focused" ETFs are designed to profit when markets fall (or to hedge against downturns).

March overview

The Betashares Australian ETF review revealed that in a month dominated by the outbreak of conflict in Iran, the Australian ETF industry recorded very strong net inflows of $5.6 billion. 

Despite this, market movements pushed funds under management down by $13.8 billion to $329.4 billion.

According to Tom Wickenden, Investment Strategist, the short-term threat from the Iran war is the oil price spike's impact on growth and inflation. 

But the longer-term implications may matter most for investors, long after any resolution. 

Russia's invasion of Ukraine accelerated defence spending and European energy diversification. The Iran conflict is now doing the same for global energy self sufficiency, while fracturing the US security umbrella and embedding geopolitics as a structural driver of asset prices rather than an episodic risk to be faded.

Mr Wickenden explained that as a response, investor flows have picked up in select hedges: 

• Energy producers
• Uranium
• Defence
• Critical minerals
• Agricultural commodities.

March also saw a second-rate hike from the RBA in 2026.

For Australian equities this reinforces three key trends: the rotation toward income and value factors, pressure on rate sensitive sectors, and the same commodity shock that has complicated the RBA's path is generating meaningful earnings improvements for Australian energy and material companies.

Best performing ASX ETFs in March

According to Betashares, March's top performers were dominated by defensive and counter-cyclical exposures. 

This came as a sharp rally in crude oil lifted commodity focused funds while equity bear funds surged on the back of significant market volatility and risk-off sentiment. 

The best performing ASX ETFs in March were: 

• BetaShares Crude Oil Index ETF – Currency Hedged (Synthetic) (ASX: OOO) rose 55.9%
• BetaShares Australian Equities Strong Bear Hedge Fund (ASX: BBOZ) rose 19.33%
• Betashares Ethereum ETF (ASX: QETH) rose 13.33%
• Betashares US Equities Strong Bear Currency Hedged Complex ETF (ASX: BBUS) rose 12.3%
• Global X Ultra Short Nasdaq 100 Hedge Fund (ASX: SNAS) rose 11.94%.

The Betashares Crude Oil Index ETF led the way in March. 

The fund aims to track the performance of an index (before fees and expenses) that provides exposure to crude oil futures, hedged for currency movements in the AUD/USD exchange rate.

It benefited as oil prices surged following the blockage of the Strait of Hormuz.

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

This commodity-tracking ASX exchange-traded fund (ETF) is riding the wave of skyrocketing oil prices as the war in Iran drags on.

Over the past month, the Brent crude oil price has soared 38% to US$107.40 per barrel today.

The US West Texas Intermediate (WTI) crude oil price is up 44% over the month to US$102.95 per barrel at the time of writing.

What's the latest in the Middle East?

Tensions in the Middle East escalated over the weekend after the Iran-backed Houthis of Yemen joined the war and attacked Israel.

Yemen's involvement adds further upside risk to oil and gas prices, as it sits alongside the Red Sea and the Strait of Bab al-Mandeb.

Shipments of oil and gas flow through this strait, just as they do the Strait of Hormuz, which runs alongside Iran and is effectively closed.

US President Donald Trump says he'll bomb Iran's electricity plants, oil facilities, and desalination plants if the Strait of Hormuz is not reopened.

Meanwhile, Iran is reportedly urging militant groups to prepare to disrupt shipping through the Red Sea.

Trading Economics analysts said:

Such developments risk further tightening energy flows from the Middle East, as two of the main strategic waterways in the world for trade and energy supplies could potentially be cut off.

The inability of tankers to sail out of the Middle East has created a global oil shock.

Petrol and diesel prices in Australia have soared, with the Federal Government halving the fuel excise from tomorrow to provide relief.

While the US continues to claim that negotiations with Iran are going well, President Trump is still considering sending in ground troops.

Meanwhile, ASX 200 energy shares have soared since the conflict began, as has the price of the OOO ETF.

ASX ETF a popular trade as oil prices rocket

Data from online investment platform Stake shows OOO has been the fifth-most traded ASX ETF among Aussie investors this month.

Kylie Purcell, Senior Markets Analyst at Stake, said many new investors to the platform have been active this month, commenting:

In commodities, many are looking to capitalise on large price swings by trading oil ETFs and related stocks.

How does ASX OOO work?

This ASX ETF aims to track the S&P GSCI Crude Oil Index Excess Return, hedged against AUD/USD currency movements.

This allows ASX investors exposure to WTI crude oil futures, rather than the spot price.

Betashares explains:

The price of oil futures contracts is not the same as the "spot price" of oil. As such, OOO does not aim to, and should not be expected to, provide the same return as the performance of this spot price.

The performance of an ETF that is linked to oil futures may be materially different to the performance of the spot price of oil itself.

This is because the process of "rolling" from one futures contract to the next to maintain investment exposure can result in either a cost or benefit to the Fund, affecting returns.

OOO ETF is backed by cash, which is held in bank accounts with a third-party custodian on behalf of unitholders.

The post Why is this ASX ETF up nearly 50% in a month? appeared first on The Motley Fool Australia.

Since the war began, ASX 200 shares have fallen 7.8%.

Most sectors, particularly mining, have been negatively impacted, while energy shares have soared due to higher oil, gas, and coal prices.

Earlier this week, we looked at the 5 most traded ASX 200 shares since the war began.

The trading data came from online investment platform Stake and covered the period from 2 March to 18 March.

Only one of the top 5 most traded shares was an energy company.

That alone was interesting, given energy shares are clearly the momentum trade of the moment, with the sector up 16% since 2 March.

The data also indicated another interesting and surprising trend — investors' desire to buy the dip.

Several of the most traded ASX 200 shares had experienced major annual declines, and the war had dragged them even lower.

Examples include CSL Ltd (ASX: CSL), Wisetech Global Ltd (ASX: WTC), Xero Ltd (ASX: XRO), and Zip Co Ltd (ASX: ZIP) shares.

This is a trend we've seen before among Aussie investors.

Last year, Stake trading data showed Aussies bought the dip during the April 2025 rout after the US announced its reciprocal tariffs.

10 most traded ETFs since the war began

In this article, we take a look at the 10 most traded ASX exchange-traded funds (ETFs) on the Stake platform since the war began.

This data is highly relevant given that so many Aussie investors are choosing ETFs over individual shares in today's market.

According to the latest market data, Aussies have a record $333 billion invested across 426 ETFs on the market today.

Here is the data from Stake. Remember, this data only shows volume of activity, so we don't know the split between purchases and sales.

However, we can assume that the fifth-ranked Betashares Crude Oil Index Currency Hedged Complex ETF (ASX: OOO) is buy-tilted.

ASX OOO has surged 47% in 30 days, and provides exposure to US West Texas Intermediate (WTI) crude oil futures (not the spot price).

We can also assume some profit-taking with ASX gold and silver ETFs, given the drop in gold and silver prices this month.

The gold price has fallen 18%, and silver has dropped 24% since the war in Iran began.

However, gold and silver remain 42% and 98% higher, respectively, over 12 months.

Source: Stake

The post Which ASX ETFs have Aussies traded most since the Iran war began? appeared first on The Motley Fool Australia.

For example, here in Australia, energy shares have provided relief for many investors. 

In the month of March, the S&P/ASX 200 Index (ASX: XJO), Australia's benchmark index, is down roughly 9%. 

The S&P 500 Index (SP: .INX), one of the key benchmarks in the US, is down more than 4%. 

In contrast, the S&P/ASX 200 Energy (ASX: XEJ) is up 11%. 

ASX energy stocks are climbing largely due to a spike in oil and gas prices, fueled by geopolitical tensions tightening global supply.

However it isn't only ASX energy shares offering relief for investors. 

Here are three ASX ETFs that have managed to weather the storm this month. 

Global X Bloomberg Commodity ETF (Synthetic) (ASX: BCOM)

This ASX ETF invests in a highly liquid, broad-based basket of commodities, including energy, grains, precious metals, industrial metals, softs and livestock.

I covered earlier this week why Global X believes commodities could outperform other asset classes over the next 12-24 months.

Regardless of future growth, this ASX ETF has already proven resilient in the current environment. 

It has risen almost 5% in the last month. 

The fund tracks the Bloomberg Commodity Excess Return 3 Month Forward Index.

According to Global X, the fund aims to maintain exposure to contracts which expire ~3 months in the future, helping minimise negative roll yield by investing further up the curve.

BetaShares Global Energy Companies ETF – Currency Hedged (ASX: FUEL)

Another ASX ETF that has outperformed in the last month is this fund from Betashares. 

It aims to track the performance of an index (before fees and expenses) that comprises the largest global energy companies (ex-Australia), hedged into Australian dollars.

According to Betashares, it offers exposure to approximately 32 energy companies that are larger, more geographically diversified, and more vertically integrated than Australian-listed energy companies.

The fund is up nearly 9% in the last month. 

It has provided annual returns of roughly 17% in the last 5 years. 

BetaShares Crude Oil Index ETF – Currency Hedged (Synthetic) (ASX: OOO)

This ASX ETF aims to track the performance of an index (before fees and expenses) that provides exposure to crude oil futures, hedged for currency movements in the AUD/USD exchange rate.

Unsurprisingly, it has exploded this year with conflict putting heavy pressure on global oil supply. 

In the last month, this fund has risen 41%. 

For investors considering this ASX ETF, The Motley Fool's Sebastian Bowen covered earlier this week whether this ASX ETF or individual oil stocks could continue to rise in the near term. 

The post ASX ETFs holding up amidst global volatility  appeared first on The Motley Fool Australia.

It's a question worthy of careful consideration before you pile in.

The logic behind owning oil stocks during a time like this isn't unreasonable. Energy is a genuine necessity. Economies run on oil and gas regardless of what stocks markets happen to be doing. On top of that, the US-Iran war is pushing oil prices, and therefore ASX oil stocks, higher while other corners of the markets are getting hammered.

Energy shares surge as markets drop

As tensions in the Middle East continue to escalate, it is clear that the world is on the cusp of a severe energy crisis. So, it makes sense that many investors might assume that companies that own huge reserves of oil and gas are a safe harbour to park their capital in right now.

We've already seen massive gains in the ASX's energy sector. Our largest listed energy stock, Woodside Energy Group Ltd (ASX: WDS), has risen by more than 27% over the past month. Santos Ltd (ASX: STO) is up 18.7%, while Beach Energy Ltd (ASX: BPT) has leapt 16.85%. One of the most lucrative investments has been the BetaShares Crude Oil Index Complex ETF (ASX: OOO). This exchange-traded fund (ETF) has rocketed 56% since this time last month.

Given that the ASX 200 has fallen by a nasty 7.44% over the same period, it is obvious that these stocks have indeed protected many investors' portfolios from this downturn.

But what about the future?

Is it too late to buy ASX oil stocks?

Well, I can't give you a definitive answer on that. There is arguably a good chance that ASX oil stocks will continue to outperform the broader market for as long as this energy crisis lasts.

But there are a few caveats to keep in mind before you rush out and buy Woodside, Beach or Santos shares. Firstly, prolonged energy shocks have often caused recessions in the past, most notably during the 1970s and '80s. Global recessions typically see demand for energy fall off a cliff, and prices with it. If energy prices end up collapsing thanks to a global downturn, the share prices of ASX oil stocks will not be safe. To illustrate, Woodside shares lost more than 50% of their value between May and December of 2008.

Energy stocks are not recession proof companies, or even recession resistant. Indeed, past energy shocks have only been balanced out by demand collapsing. Now, I don't know if that's what's in store in 2026. But history tells us it is a possibility that cannot be discounted.

Zooming out though, I think investors are better off not even trying to play these games. As Warren Buffett says, "If you aren't thinking about owning a stock for ten years, don't even think about owning it for ten minutes". The best companies survive the bad times and thrive during the good. If investors focus on finding those companies instead of trying to time the perfect oil stock trade, they will probably be better off when this crisis is in the rear-view mirror.

The post Will ASX oil stocks protect your portfolio from a market crash in 2026? appeared first on The Motley Fool Australia.

Research from the ASX ETF provider indicates that commodities could outperform other asset classes over the next 12-24 months.

One way to gain exposure to this future performance is through the Global X Bloomberg Commodity Complex ETF (ASX: BCOM). 

Here's three reasons why the BCOM ASX ETF could be an ideal fund for investors looking for global commodity exposure. 

Commodities undervalued 

According to Global X, commodities have long been an under-loved corner of the investment universe.

Investors often favouring cashflow-generating assets such as equities and fixed income, citing their higher "predictability" and "fundamentals-driven" nature. 

While this perspective is understandable, it is also important to recognise that real assets like commodities, not financial instruments, ultimately power the economy, enable productivity, and sit at the centre of even the most future-facing technologies. In that sense, demand for commodities is itself highly fundamental and persistently anchored in real economic activity.

Global X reported this gap is now beginning to narrow as investors reprice the value of real assets and technology buildouts increase demand for raw materials.

Set for outperformance

According to Global X, commodities remain roughly 20% below their pre-GFC peaks.

The report said they may now be in the process of repricing, triggered by the disruption of the 2020 pandemic, and further reinforced by renewed focus on structural megatrends such as electrification, the transition to clean energy.

Global X said it appears that the outperformance of equities over commodities may be due for a reversal. 

Over the past 35 years, an E2C reading of 3.0 or above has reliably signalled a changing of the guard, with commodities often going on to outperform equities sharply over the following 12 to 24 months.

Hedging against conflict 

The report also considered past periods of commodity outperformance in inflation regimes, with two themes standing out. 

The first is inflationary shocks driven by geopolitical disruption, such as the 2022 Russia Ukraine war. 

The second is structural demand booms, most notably in the early 2000s when China's industrialisation, alongside rapid housing and infrastructure construction, drove a powerful surge in global commodity demand.

Today's environment appears to combine elements of both. The war in Iran has the potential to push energy prices higher and, if sustained, could contribute to a hotter for longer inflation environment. At the same time, structural demand drivers are building through the rapid expansion of artificial intelligence, electrification, and other large-scale industrial megatrends.

According to the report, these catalysts are emerging at a time when commodities have anomalously underperformed equities despite a high inflation backdrop, potentially laying the groundwork for a more pronounced catch-up rally and even the emergence of a new commodity "super-cycle."

Commodities ASX ETFs

For investors seeking pure, yet broad-based exposure to commodities, the Global X Bloomberg Commodity Complex ETF may be a compelling option. 

It provides direct exposure to a marquee commodity basket through futures contracts. 

The fund also aims to maintain exposure to contracts which expire ~3 months in the future, helping minimise negative roll yield by investing further up the curve.

What this means is it gives you diversified exposure to real commodity prices by investing in futures contracts rather than physical goods.

Other commodity focussed ASX ETFs that investors may consider include: 

• Global X Physical Precious Metals (ASX: ETPMPM)
• BetaShares Crude Oil Index ETF – Currency Hedged (Synthetic) (ASX: OOO). 

The post 3 reasons this commodities ASX ETF could be an ideal buy in the current environment appeared first on The Motley Fool Australia.

The tailwind for this ASX exchange-traded fund (ETF), of course, is skyrocketing oil prices due to the war in Iran.

Over the past 30 days, the Brent crude oil price has ripped 49% higher to US$107 per barrel on Friday.

The US West Texas Intermediate (WTI) crude oil price is up 41% at US$94 per barrel at the time of writing.

The key factor pushing up oil prices is the effective shut down of the Strait of Hormuz, a key route for about 20% of global oil supply.

Since the war broke out on 28 February (US time), many Middle Eastern oil and gas producers have curbed or ceased production.

It's either too dangerous to continue operating, or their storage tanks are full because hundreds of container ships are at a standstill.

On top of that, both Israel and Iran have bombed energy infrastructure across the region this week.

Iran targeted one of the world's largest LNG export plants in Qatar, while Israel attacked the South Pars gas field in Iran.

Oil prices are weaker today after Israeli Prime Minister Benjamin Netanyahu said Israel would not attack any more energy assets.

Prime Minister Netanyahu also said the war could end sooner than expected, given Iran's reduced capacity to enrich uranium now.

What is OOO ETF?

This ASX ETF seeks to track the S&P GSCI Crude Oil Index Excess Return, hedged against AUD/USD currency movements.

It gives investors exposure to WTI crude oil futures, not the spot price.

Betashares explains the difference:

The price of oil futures contracts is not the same as the "spot price" of oil. As such, OOO does not aim to, and should not be expected to, provide the same return as the performance of this spot price.

The performance of an ETF that is linked to oil futures may be materially different to the performance of the spot price of oil itself.

This is because the process of "rolling" from one futures contract to the next to maintain investment exposure can result in either a cost or benefit to the Fund, affecting returns.

OOO ETF is fully backed by cash, which is held in bank accounts with a third-party custodian for the benefit of unitholders.

Record day for ASX ETF

Betashares Senior Investment Strategist, Cameron Gleeson, says OOO offers ASX investors the most direct exposure to oil prices.

However, he notes the inherent volatility of oil-linked investments, commenting:

This ETF produced a record 1 day ETF price gain on 9 March 2026, when oil shot up to nearly US$120 per barrel and Australian equities experienced their largest fall since COVID.

However, OOO also fell by nearly as much the following day and has been very volatile during this episode, highlighting the risk of oil-linked exposures.

Data from online investment platform Stake shows OOO has been the fifth most traded ASX ETF among Aussie investors this month.

Long-term track record

Since inception in November 2011, this ASX ETF has delivered a negative 10.23% average annual return.

Over five years, the average annual return is 11.38%.

The management fee and costs total 1.29%.

The OOO ETF is trading 2.8% lower at $8.60 per unit on Friday.

The post $10,000 invested in this ASX ETF a month ago is now worth $14,500 appeared first on The Motley Fool Australia.

Cameron Gleeson, Betashares, said geopolitical events like this can create sudden swings in markets. 

This has certainly been felt throughout March.

In a report released yesterday, he outlined two potential paths for markets: a prolonged conflict and disruption to global oil supply, or a de-escalation within a matter of weeks. 

He also highlighted several ASX ETFs that may help investors position their portfolios accordingly.

How does the current conflict impact ASX portfolios?

There are several reasons the current conflict in the Middle East is influencing markets.

The most immediate influence to markets is typically energy prices, which have had significant movement this past week on mixed messages from the Trump administration and Tehran's defiance. 

According to the report from Betashares, impact to global oil supply can quickly influence other areas of the economy like inflation expectations, central bank policy and the global growth outlook.

Here are two possible outcomes and how investors could adjust their portfolios.

Its important investors understand these scenarios are illustrative only and not predictions.

Potential path one: Prolonged conflict

Mr Gleeson said if tensions escalate and oil shipments through the Strait of Hormuz face sustained disruption, energy prices may remain elevated for some time. 

According to the report, even if Trump succeeds in dismantling Iran's nuclear program and triggering regime change, the outcome could still create a power vacuum in which factions within Iran continue to threaten energy shipments.

If you are looking for the single most important indicator of risk in this crisis, it's the price of oil. Oil's reaction has been volatile, but some investors have tried to use it as a "geopolitical hedge" for when other asset valuations come under pressure.

The ASX ETF that offers the most direct exposure to changes in the price of oil is the BetaShares Crude Oil Index ETF – Currency Hedged (Synthetic) (ASX: OOO). 

The Motley Fool's Sebastian Bowen provided a thorough breakdown of the fund and its positioning relative to the current conflict earlier this month. 

Other ASX ETFs that may be worthy of consideration if you expect a prolonged conflict and ongoing oil crisis include: 

• BetaShares Global Energy Companies ETF – Currency Hedged (ASX: FUEL) – Provides exposure to some of the world's largest oil and gas producers, with significant production outside the Gulf region.
• BetaShares Global Agriculture Companies ETF – Currency Hedged (ASX: FOOD)
• BetaShares Gold Bullion ETF – Currency Hedged (ASX: QAU)

Potential path two: De-escalation

Mr Gleeson said alternatively, if tensions ease quickly and shipping through the Strait of Hormuz resumes uninterrupted, oil prices could retrace and the geopolitical risk premium embedded in markets may fade. 

In that environment, global equities and cyclical sectors could benefit from improving sentiment and a renewed focus on economic growth.

A rising tide lifts all boats and one might expect all equity markets to rally, but below we identify some of the higher beta opportunities for such a recovery.

Some ASX ETFs mentioned include: 

• Betashares Msci Emerging Markets Complex Etf (ASX: BEMG)
• Betashares Global Shares Ex Us Etf (ASX: EXUS)
• BetaShares Geared Australian Equity Fund (Hedge Fund) (ASX: GEAR)

He highlighted that historically, emerging markets have performed strongly when global risk appetite improves and trade flows normalise.

Additionally, Ex-US equities provide greater exposure to cyclical sectors like financials and industrials than the US equity market and, as such, greater exposure to a strong global growth environment.

The post Portfolio strategies for 2 potential Middle East scenarios – Expert appeared first on The Motley Fool Australia.

It's no secret why this oil-based ETF has fared so well.

A futures ETF?

The BetaShares Crude Oil ETF is a rather unique ASX fund. Rather than holding a portfolio of underlying stocks or bonds, as most ETFs do, it instead offers investors exposure to a portfolio of futures contracts. Futures contracts are derivatives that represent the value of a commodity, to be delivered in the future, at a price determined in the past or present. They are commonly used by both businesses and investors to mitigate risks associated with volatile commodities.

To illustrate, an oil-based futures contract might stipulate that 1,000 barrels of crude oil are to be delivered on 31 December 2026 at a price of US$60 per barrel. If the contract was made when oil prices were at US$60 a barrel, and the oil price rises to US$80 soon after, then that contract's value just increased. Of course, it works the other way as well.

The OOO ETF holds a basket of these contracts. Given the sharp increase in the price of oil this week as a result of the new US-Iran war, it's no surprise to see the value of OOO units rise rapidly in response.

We've also seen other energy-focused ASX ETFs react similarly on the ASX this week. One example is the BetaShares Global Energy Companies Currency Hedged ETF (ASX: FUEL). This ASX ETF doesn't hold futures contracts. Instead, it opts for the traditional ETF model of holding an underlying portfolio of global energy stocks like Chevron, ConocoPhillips, Shell and ExxonMobil. FUEL units have risen by almost 6% over the past month.

Is it too late to buy funds like OOO and FUEL?

Investors might be looking at these gains and wondering whether it's worth jumping on this train.

While it might be tempting to look at what's going on with oil prices and conclude that either OOO or FUEL might be a good way to insulate your ASX share portfolios, I think that would be a mistake.

Oil is a highly volatile commodity at the best of times. But this volatility has reached unprecedented heights over the past week. On any given day now it seems, oil can move by double-digits in either direction. Whilst you might be able to time a trade perfectly to take advantage of one of these upswings, there's just as likely a chance that you can be caught out by a downturn. You may as well go down to the casino and put it all on red.

Further, commodity-specific ETFs like OOO and FUEL tend to charge relatively high management fees and deliver low long-term gains. At least compared to market-wide index funds.

As such, I think ASX investors would be better off finding high-quality companies that compound their earnings every year and buying them at a good price over trying to take advantage of the whipsawing energy prices that we are seeing.

The post Up 30% in a month: Is it too late to buy the BetaShares Crude Oil ETF (OOO)? appeared first on The Motley Fool Australia.

Just days ago, crude briefly spiked close to US$120 per barrel, triggering fears of a major supply shock.

Now prices are cooling quickly. According to TradingEconomics, West Texas Intermediate (WTI) crude is currently trading around US$83.15 per barrel.

The sudden reversal is also weighing on oil-linked investments, including the Betashares Crude Oil Index Currency Hedged Complex ETF (ASX: OOO).

At the time of writing, the OOO share price is $7.49, down 4.95% for the day.

Let's take a closer look at what is happening.

Oil prices retreat after Middle East fears ease

The earlier surge in oil prices was driven by rising tensions in the Middle East and fears that global oil supply could be disrupted.

Markets were particularly focused on the Strait of Hormuz, one of the most important shipping routes for global energy.

Around 20% of the world's oil supply moves through the Strait each day, making it one of the most critical choke points in the global energy system.

Several major Middle East producers, including Saudi Arabia, the UAE, Kuwait, and Iraq, rely heavily on this route to export crude to global markets.

However, traders are now reassessing the immediate risk to supply.

Reports also indicate the International Energy Agency (IEA) is considering a coordinated release of emergency oil reserves. Member nations collectively hold about 1.2 billion barrels in strategic stockpiles, along with roughly 600 million barrels of industry inventories.

If released, these reserves could help offset potential supply disruptions and ease pressure on global energy markets.

Why the Betashares Crude Oil ETF is falling

The pullback in oil prices is also dragging down the Betashares Crude Oil ETF.

The fund gives investors exposure to oil by tracking the S&P GSCI Crude Oil Index, which reflects movements in global crude futures. It also hedges currency exposure between the US dollar and the Australian dollar.

Because of this, the ETF typically moves in line with oil prices.

Crude surged earlier this week during the sharp rally, helping lift the value of the futures contracts tracked by the index. Now that prices have pulled back, the ETF has also come under pressure.

Despite recent volatility, the fund has still delivered strong returns this year, up about 46%.

What could happen next?

Oil markets remain highly sensitive to developments in the Middle East and the potential impact on global supply.

The market is closely monitoring shipping activity through the Strait of Hormuz, as well as any coordinated response from major energy agencies such as the IEA.

Further escalation in the region could quickly push crude prices higher again.

On the other hand, a coordinated release of strategic reserves or easing tensions in the region could lower oil prices.

The post Oil slumps to US$83 per barrel. Here's what is driving the sharp pullback appeared first on The Motley Fool Australia.

Just days ago, crude surged to its highest level in years as markets feared supply disruptions across one of the world's key energy regions.

Now prices are easing, and the Betashares Crude Oil Index Currency Hedged Complex ETF (ASX: OOO) is falling heavily in response.

At the time of writing, the OOO share price is $7.95, down 21.83%.

Let's take a closer look at what just happened.

Oil prices cool after huge surge

Oil prices have been extremely volatile in recent days amid geopolitical tensions that have rattled energy markets.

According to Trading Economics, West Texas Intermediate (WTI) crude is currently trading around US$89.15 per barrel, down 1.93% today.

That marks a significant reversal after prices surged earlier this week.

On Monday, oil prices briefly jumped close to US$120 per barrel, the highest point since the energy shock following Russia's invasion of Ukraine in 2022.

The rally was driven by escalating tensions between the United States, Israel, and Iran, which raised fears that global oil supply could be severely disrupted.

In particular, traders have been watching the Strait of Hormuz, a narrow shipping channel that carries a huge portion of the world's crude supply.

Around 20 million barrels of oil per day move through the waterway, making it one of the most important energy chokepoints on the planet.

Changing expectations hit oil prices

The recent decline appears to be linked to changing expectations about how the conflict may unfold.

Reports suggest the United States believes its military operations against Iran may be nearing completion. There have also been signs that diplomatic discussions could begin in the coming days.

At the same time, global policymakers have signalled they may act if oil prices remain high.

Finance ministers from the Group of Seven (G7) countries have reportedly discussed the possibility of releasing oil from strategic reserves if necessary to stabilise markets.

This could help stabilise markets and ease concerns about shortages.

After oil surged more than 30% in a short period, some investors also appear to be taking profits.

Why the Betashares Crude Oil ETF is sliding

The Betashares Crude Oil ETF gives investors exposure to movements in global crude oil prices through futures contracts.

Because of this structure, the ETF typically moves closely in line with changes in the oil price.

When oil surged earlier this week, the fund rallied strongly as investors rushed to gain exposure to the commodity.

However, today's drop in crude prices has triggered a strong reversal.

With oil falling back toward US$90 per barrel, the ETF has come under heavy selling pressure.

The 21.83% decline in the fund highlights how quickly sentiment can change in energy markets.

What investors may be watching next

Despite the latest fall, oil prices remain significantly higher than they were just weeks ago.

WTI crude has still climbed more than 30% since late February, highlighting the enormous impact geopolitical tensions can have on energy markets.

The next move will likely depend on developments in the Middle East and whether shipping routes remain open.

If supply disruptions emerge, oil prices could jump once more.

The post Oil tumbles after nearing US$120. Here's why prices are pulling back appeared first on The Motley Fool Australia.

Brent crude and West Texas Intermediate (WTI) crude have both climbed above the US$100 per barrel mark for the first time since 2022, triggering a strong rally across global energy markets.

The move reflects growing fears that the escalating conflict could disrupt oil supplies across one of the world's most important energy-producing regions.

Here is what is driving the move.

Oil prices surge as conflict threatens global supply

Global oil markets have reacted strongly as the conflict in the Middle East enters its 10th day.

According to Trading Economics, WTI crude oil has jumped about 19% to roughly US$108 per barrel, while Brent crude is up around 17% to US$108 per barrel.

The rise comes as escalating military strikes between Israel and Iran raise concerns about disruptions to oil supplies across the region.

One of the biggest risks to global energy markets is the Strait of Hormuz, a narrow shipping route between Iran and Oman.

Around 20% of the world's oil supply normally passes through this strategic waterway.

Recent reports suggest tanker traffic through the strait has slowed dramatically amid rising security threats and attacks on shipping vessels.

Some Middle Eastern producers have already begun cutting output or halting shipments, which is tightening supply in global energy markets.

With supply risks rising quickly, oil traders have pushed prices significantly higher.

The OOO share price is rocketing

The sharp move in oil prices is flowing through to the Betashares Crude Oil Index Currency Hedged ETF (ASX: OOO).

The ETF aims to track the performance of the S&P GSCI Crude Oil Index, which reflects movements in global oil prices.

Because the fund is currency hedged, it is designed to track the underlying oil price without the impact of fluctuations in the Australian dollar.

As oil prices have surged in recent days, the ETF has followed.

Over the past week alone, the OOO share price has surged more than 60%, rising to its latest price of $9.50.

Year to date, the ETF is now up close to 85%, reflecting the powerful rally in crude markets.

Trading volumes have also jumped as investors seek quick exposure to rising energy prices.

What happens next for oil prices

Where oil prices go next will largely depend on how the conflict develops.

Analysts say the biggest concern remains the potential for a long-term disruption to energy shipments through the Persian Gulf.

If the Strait of Hormuz remains restricted or damaged, infrastructure reduces production across the region, and global supply could tighten further.

Some analysts have warned that oil could climb well above US$120 per barrel if the conflict escalates and supply disruptions worsen.

Right now, however, energy markets remain extremely sensitive to developments in the Middle East.

And that means the OOO share price could remain volatile as investors react to new updates from the conflict.

The post Oil rockets past US$100 as Iran war escalates. This ASX oil ETF is surging appeared first on The Motley Fool Australia.

This ASX exchange-traded fund (ETF) is having quite a different day compared to most ASX shares. OOO units closed at $6.08 each last week. But this morning, those same units opened at $6.30 before rising as high as $6.32. That was a gain of nearly 4% at the time. At the time of writing, the fund has pulled back a little, but remains up a healthy 2.63% at $6.24 a unit.

So why is the Betashares Crude Oil ETF rising so enthusiastically on such a pessimistic day for the broader markets?

Well, to answer that question, we first have to look at how the Betashares Crude Oil ETF works. Yes, it is an exchange-traded fund. But unlike most ETFs, OOO doesn't actually hold shares of companies. Instead, it invests in, shockingly, crude oil. However, this fund does not just track the spot price of oil. It instead owns a portfolio of oil futures contracts.

Futures contracts are a type of derivative that represents ownership of an oil delivery set at a certain price. It might be, for example, 100,000 barrels of oil set for delivery in December 2025 at a price of US$65 a barrel.

How does the ASX's BetaShares Crude Oil ETF (OOO) work?

Whilst the value of crude oil futures contracts doesn't exactly correlate with the price of oil itself, they are still influenced by it. To illustrate, the value of the hypothetical contract discussed above would rise substantially if the spot price of crude oil rises to US$75 a barrel. Conversely, it would dramatically fall if oil dipped to US$55 a barrel.

This price movement is what the Betashares Crude Oil ETF aims to capture.

As such, today's spike in value for OOO units can be put down to oil price movements. As many of us would be aware, the United States joined Israel's attacks on Iran over the weekend. This has resulted in a spike in the oil price, given that Iran is a major producer of crude. Three weeks ago, the price of WTI crude was around US$60. Today, it is just under US$75.

There has been speculation that Iran could respond to these attacks by closing a vital shipping lane for oil – the Straight of Hormuz – which lies on its southern border. If that does occur, it would potentially catapult oil prices far higher.

Given this uncertainty and risk for a supply squeeze in the oil market, it's not surprising to see the Betashares Crude Oil ETF rising so enthusiastically today. This will be an interesting ASX ETF to keep an eye on this week.

The post Why did the BetaShares Crude Oil ETF just spike 4%? appeared first on The Motley Fool Australia.

The OOO ETF is trading 1.85% lower at $5.85 per unit today.

The ASX ETF surged last Friday after Israel attacked Iran's nuclear facilities in a pre-emptive strike to prevent it from developing a bomb.

The OOO ETF spiked 7.8% on Friday alone, reflecting a surge in oil prices amid fears that a new war could directly impact global oil supplies.

The Brent crude oil price traded above US$76 per barrel on Friday, the highest level since February.

The US West Texas Intermediate crude oil price went to $75 per barrel, the highest price since January.

The key concern is that the conflict may block the Strait of Hormuz, a key route for about 20% of global oil flows.

The US is evacuating some personnel in the region after Iran threatened US military bases.

The Trump Administration has been trying to get a nuclear deal with Iran; however, Israel said it could not wait any longer to strike.

US President Trump leaving G7 early, Albanese meeting cancelled

We learned today that President Trump will leave the G7 meeting early due to the Israel-Iran conflict.

Israel has promised more air strikes on Iran. In the latest round of missile fire, Israel hit a state TV media building in Tehran.

On Truth Social, the US President warned residents of Tehran to evacuate, saying:

Iran should have signed the "deal" I told them to sign. What a shame, and waste of human life.

Simply stated, IRAN CAN NOT HAVE A NUCLEAR WEAPON. I said it over and over again!

Everyone should immediately evacuate Tehran!

President Trump's meeting with Australian Prime Minister Anthony Albanese has been cancelled as a result of him leaving early.

What's happening with oil prices today?

The Brent and WTI oil prices have retreated from their Friday highs amid hopes the Israel-Iran exchange will be short-lived.

The Brent Crude oil price is currently US$73.50 per barrel, up 0.37%. The WTI price is 71.94, up 0.23%.

Analysts at Trading Economics said Iran has been "urgently signaling that it seeks an end to hostilities and a resumption of negotiations over its nuclear program".

The analysts said this had eased concerns, with oil prices volatile yesterday and ultimately closing lower.

What's next for oil prices?

It's impossible to predict, and analysts have varied opinions right now.

According to The Guardian, Deutsche Bank is expecting oil prices to remain about US$75 per barrel.

But Deutsche said that in the worst-case scenario, oil prices could go to US$120 per barrel if the Strait of Hormuz was shut down.

Helima Croft, head of global commodity strategy at the investment bank RBC Capital Markets, said (courtesy The New York Times):

We see the risk of a serious supply outage increasing significantly in an extended war scenario.

Analysts at consultancy firm Rystad Energy said the conflict would likely be contained through US diplomatic intervention.

Rystad Energy expects oil prices to stay under US$80 per barrel if the Trump Administration can broker a deal.

Bachar El-Halabi, senior energy markets analyst at commodities research firm Argus Media, said oil prices were unlikely to jump.

As long as supply has not been disrupted, I don't think we are going to see huge jumps in oil prices, because the geopolitical risk premium is already factored in.

Betashares Crude Oil Index ETF soaring in June

Other factors have been propelling oil prices in June, which has contributed to the OOO ETF's 18% rise so far this month.

As we reported on Friday, oil prices were further boosted by falling US crude stocks, indicating higher-than-expected demand.

On 30 May, the Brent crude oil price was US$62.65 per barrel. Since then, it's risen 17%, and the OOO ETF has followed suit.

If you're interested in investing in the OOO ETF, here are the essential details you need to know.

OOO ETF essential details

The OOO ETF seeks to track the S&P GSCI Crude Oil Index Excess Return, hedged against AUD/USD currency movements.

It gives investors exposure to crude oil futures, not the spot price.

Betashares explains:

The performance of an ETF that is linked to oil futures may be materially different to the performance of the spot price of oil itself.

This is because the process of "rolling" from one futures contract to the next to maintain investment exposure can result in either a cost or benefit to OOO, affecting returns.

The ETF is fully invested in crude oil futures and 100% backed by cash held by a third-party custodian.

Betashares launched the OOO ETF in November 2011.

Since inception, its performance has been poor at negative 11.99% average annual returns.

Management fees are 0.69% per annum, with additional estimated indirect costs of 0.6% per annum.

The post Up 18% in June, is the Betashares Crude Oil Index ETF a good oil price play? appeared first on The Motley Fool Australia.

Well, today we're asking ASX broker Morgan Stanley (MS).

Morgan Stanley's Kevin Dermers recently released a report on how to invest in a high-inflation world. And it makes for some interesting reading.

Morgan Stanley: How to beat inflation

Many investors might assume that just investing in ASX shares is enough to counter the effects of inflation. But rising prices affect different companies in different ways. And some are more immune to its corrosiveness than others. In its report, MS tells us this:

Persistent inflation and a resilient economy could spur the Federal Reserve to keep interest rates elevated, which could weigh on some stocks…

Stocks and funds that offer investors exposure to "real assets"—that is, tangible assets like infrastructure, real estate and natural resources, whose value is linked to their physical attributes—may be appealing in an environment of solid economic growth, persistent inflation and higher interest rates.

It's these 'real assets' like infrastructure, property and commodities that MS argues are the key to beating inflation through investing. This is due to three reasons.

Firstly, real assets allow investors to hedge against inflation as they are able to consistently pass on rising costs to their users.

Secondly, real assets can deliver an all-weather income stream that can deliver cash flow regardless of the economic conditions.

Third, real assets can offer investors some portfolio diversification benefits, as their valuations are usually uncorrelated to other assets including ASX shares.

How to invest in real assets on the ASX

So how exactly does one invest in real assets? Well, MS does note this:

It is possible for investors to hold real assets in their portfolios – for instance, by purchasing gold or buying a share of a building – but it can be more difficult and potentially more risky than purchasing stocks or funds that offer exposure to real assets

So with that in mind, let's discuss a few ASX options here. The most obvious is using exchange-traded funds (ETFs). As investors would probably be aware, there are a plethora of different ASX ETFs that cover different corners of the market. As luck would have it, there are many options to choose from if you are looking for infrastructure, property or commodity investments.

With infrastructure, there are a few ASX ETFs that offer sole coverage of these investments. Two examples would be the Vanguard Global Infrastructure Index ETF (ASX: VBLD) and the VanEck FTSE Global Infrastructure ETF (ASX: IFRA). Both of these funds hold companies that operate assets like pipelines, toll roads, railroads and electrical poles and wires.

Turning to property, there is also a bevy of options to choose from. The Vanguard Australian Property Securities Index ETF (ASX: VAP), which holds stakes in various real estate investment trusts (REITs) is one possibility. Others include buying REIT units yourself, or else another ETF like the iShares Core FTSE Global Property ex-Australia ETF (ASX: GLPR).

The challenges of beating inflation using natural resources

Commodities and natural resources are a tricky one to discuss though. As we all know, there are countless commodities out there that are vital to a healthy economy. But not all of these function in the same way. Iron ore and oil are notoriously cyclical, while precious metals like gold and silver have markets that move on entirely different factors. But MS argues that natural resources are still a great place to look if you want to invest to beat inflation.

So what's the solution? Well, you could start with an ASX-wide resources ETF like the BetaShares Australian Resources Sector ETF (ASX: QRE). This fund invests in all of the ASX's major mining and energy companies, such as BHP Group Ltd (ASX: BHP), South32 Ltd (ASX: S32) and Woodside Energy Group Ltd (ASX: WDS).

You could also combine several different commodity-based ETFs. For example, the BetaShares Crude Oil Index ETF (ASX: OOO) tracks oil futures, the Global X Copper Miners ETF (ASX: WIRE) tracks copper companies, the VanEck Gold Miners ETF (ASX: GDX) tracks, well gold miners, and the Global X Green Metal Miners ETF (ASX: GMTL) allows for exposure to future-facing commodities like lithium, rare earths, nickel and cobalt.

There's also agriculture to consider. Food investments have their own cyclicalities to worry about, with factors like weather and rainfall playing a major role.

But there are ETFs that can allow ASX investors exposure to food-producing investments too. One such example is the BetaShares Global Agricultural Companies ETF (ASX: FOOD).

This fund holds a portfolio of global shares that grow, make, process, package and distribute food products all over the world. It also includes companies like Deere & Company that manufacture farming equipment.

The post Here's how Morgan Stanley invests to beat inflation appeared first on The Motley Fool Australia.

At the end of June, a single barrel of West Texas Intermediate (WTI) crude oil was going for under US$68 a barrel. But as of today, just over a month later, that same barrel is asking US$84.37. That's a massive gain of almost 25%.

But is the BetaShares Crude Oil ETF an effective way to cash in on this rising oil price?

Can you cash in on rising oil by buying OOO units on the ASX?

To answer that, let's take a look at how this ASX exchange-traded fund (ETF) works.

The ASX's OOO ETF is not your typical index ETF. Instead of holding a basket of underlying ASX shares, this fund gives investors exposure to crude oil futures contracts.

Futures contracts are essentially derivatives that allow investors to speculate on the price of a commodity. If oil prices rise above what previous market expectations anticipated, then the value of oil futures also rises.

As such, this ETF allows ASX investors to enjoy some of the returns of a sharply rising oil price.

Indeed, we can see this with the OOO unit price on the ASX. Since 30 June, BetaShares Crude Oil ETF units are up a pleasing 20.5%, having risen from $4.87 to the $5.87 we see today:

However, investors shouldn't always expect returns that mirror the raw prices of oil itself. Here's how the fund provider explains this phenomenon:

The price of oil futures contracts is not the same as the "spot price" of oil. As such, OOO does not aim to, and should not be expected to, provide the same return as the performance of this spot price.

The performance of an ETF that is linked to oil futures may be materially different to the performance of the spot price of oil itself. This is because the process of "rolling" from one futures contract to the next to maintain investment exposure can result in either a cost or benefit to the Fund, affecting returns.

Even so, there aren't a lot of ways that ASX investors can benefit directly from rising oil prices, aside from buying ASX oil shares of course. Most of us don't have the facilities to house hundreds of barrels of raw crude oil in our backyards.

Other considerations for ETF investors today

Still, investors should also keep some other metrics in mind.

Firstly, this ETF charges a relatively high management fee for its services, asking unit holders to pay a 1.29% management fee per annum.

Secondly, most long-term investors in this ETF haven't done too well. As of 31 July, the OOO ETF's ASX investors have lost an average of 15.08% per annum over the past ten years.

So make sure you take all of these facets of the BetaShares Crude Oil ETF into consideration before making an investment.

The post Want to buy the BetaShares Crude Oil Index ETF to cash in on surging oil prices? Here's what you need to know appeared first on The Motley Fool Australia.

The ASX is home to many of the most popular ETFs – index funds. There are index funds tracking the S&P/ASX 200 Index (ASX: XJO), the S&P/ASX 300 Index (ASX: XKO), as well as international indexes like the US S&P 500.

But there are also a bevvy of thematic and actively managed funds on the ASX as well.

For example, the Global X Physical Gold ETF (ASX: GOLD) allows investors to invest in gold bullion. The BetaShares Global Cybersecurity ETF (ASX: HACK) allows for exposure to only cybersecurity companies. And the BetaShares Crude Oil Index ETF (ASX: OOO) grants unitholders access to the gains or losses of the global oil price.

Well, today has seen the launch of yet another new ASX exchange-traded fund. It's the Global X Australia ex Financials & Resources ETF (ASX: OZXX).

The ASX welcomes its latest ETF

This ETF is one that is difficult to classify. It functions in a similar manner to an index fund, holding the 100 largest companies on the ASX by market capitalisation. However, it also actively excludes a huge chunk of our share market – bank and mining shares.

A normal ASX index fund is dominated by banks and miners. Just take the iShares Core S&P/ASX 200 ETF (ASX: IOZ). This ASX 200 index fund tracks the largest 200 companies on the ASX share market without further qualification.

This means that Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC), and ANZ Group Holdings Ltd (ASX: ANZ) are the second, fourth, fifth, and sixth largest positions in this ETF, accounting for just over 18.5% of the entire ETF's weighting.

Mining and energy giants BHP Group Ltd (ASX: BHP), Woodside Energy Group Ltd (ASX: WDS), and Rio Tinto Limited (ASX: RIO) add another 15.6%.

So that's a lot of concentration in just two sectors.

The Global X Australia ex Financials & Resources ETF takes these sectors out of the equation. Instead, this ETF's current largest holdings (in order) consist of CSL Limited (ASX: CSL), Wesfarmers Ltd (ASX: WES), Telstra Group Ltd (ASX: TLS), Woolworths Group Ltd (ASX: WOW), and Transurban Group (ASX: TCL).

Because this is a new ETF, we don't yet have any kinds of performance metrics to analyse it. But it would certainly make for a closer look for any investor worried about overexposure to banks or miners in an ordinary ASX index fund.

The Global X Australia ex Financials & Resources ETF charges a management fee of 0.25% per annum, or $25 a year for every $10,000 invested.

The post Say hello to the ASX's newest ETF appeared first on The Motley Fool Australia.

Most ASX-based index funds would have given investors a similar return to the index. But let's take a look at some of the funds that beat out the ASX 200.

Here are the five best-performing funds of FY 2022.

The 5 best-performing ASX ETFs last financial year

BetaShares Global Agriculture Companies ETF (ASX: FOOD)

Our first fund to take a look at today tells us most of what we need to know in its title. FOOD is an agricultural-based ETF that tracks a basket of food-producing companies from around the world. Some of its holdings include tractor maker Deere & Co, Archer-Daniels-Midland Co and Tyson Foods Inc. FOOD units gave investors a 3.5% return over FY 2022, which looks pretty good against the ASX 200.

VanEck Australian Resources ETF (ASX: MVR)

This fund from VanEck holds ASX shares, but only those in the resources sector. ASX investors will recognise most of the big names in this fund, which include Woodside Energy Group Ltd (ASX: WDS), BHP Group Ltd (ASS: BHP) and Rio Tinto Limited (ASX: RIO). MVR units managed to give an overall return of 5% over FY 2022 for investors.

ETFS S&P 500 High Yield Low Volatility ETF (ASX: ZYUS)

This ETF from ETFS is an income-focused fund that tracks a select group of American companies, picked to minimise volatility and maximise income. You might know some of its current holdings like Kraft Heinz, Chevron, IBM and Philip Morris International. ZYUS managed to give its investors a 12.7% return over FY 2022.

BetaShares Global Energy Companies ETF (ASX: FUEL)

This fund from BetaShares is similar to FOOD, except it holds a basket of global energy shares rather than agricultural ones. Once again, we see Chevron here, as well as other oil giants like Exxon Mobil, Royal Dutch Shell and BP.

Rising energy prices have been kind to these companies in the past six months, so it's perhaps no surprise that FUEL units managed to provide a return of 27.9% over FY 2022.

BetaShares Crude Oil Index ETF (ASX: OOO)

Our final and best-performing ASX ETF of FY 2022 is another fund from BetaShares. And another energy-focused one at that. OOO is nothing like FUEL though. Instead of tracking energy companies, OOO only invests in West Texas Intermediate (WTI) crude oil futures contracts, and holds no actual shares within it.

But this has proven to be a winner over the last financial year, with OOO units giving investors a pleasing return of 60.3% over that time. Black gold indeed,

The post Here are the best-performing ASX ETFs of FY 2022 appeared first on The Motley Fool Australia.

But now it's time to check out the ASX ETFs that shone during the three months just gone. So here are the ASX's best ETFs of the March quarter. See if you can spot a theme. 

The 5 best-performing ASX ETFs of the March quarter

VanEck Gold Miners ETF (ASX: GDX)

This ETF from VanEck does exactly what it says on the tin. GDX invests in a portfolio of global gold miners. The ASX's Newcrest Mining Ltd (ASX: NCM) is there, but so are internationally-based companies like Newmont Corp and Barrick Gold. GDX gave investors a healthy 17.25% return over the March quarter.

BetaShares Australian Resources Sector ETF (ASX: QRE)

BetaShares runs this resources ETF. QRE invests in ASX's metals, mining and energy shares. You'll find everything from BHP Group Ltd (ASX: BHP) and Rio Tinto Limited (ASX: RIO) to Newcrest Mining and Woodside Petroleum Limited (ASX: WPL) here. As well as some smaller miners like Nickel Mines Ltd (ASX: NIC) and Liontown Resources Limited (ASX: LTR). QRE returned 17.77% over the quarter just passed. 

SPDR S&P/ASX 200 Resources Fund (ASX: OZR)

This ETF from State Street Global Advisors is a very similar ETF in scope and composition to QRE, which explains its near-identical return. It also invests in the ASX's metals, mining and energy shares. You'll find virtually the same companies in this ETF as the BetaShares fund. OZR had a corker of a quarter, rising 17.82% over the three months to 31 March.

BetaShares Global Energy Companies ETF (ASX: FUEL)

Here we have yet another resources-based ETF. But this one is a little different to the previous two funds. FUEL only invests in energy shares, or oil and gas companies. But this ETF is globally-based, and not just confined to the ASX. You'll find energy giants like Chevron, Exxon Mobil, BP and Royal Dutch Shell here. This fund returned a pleasing 24.04% over the March quarter. 

BetaShares Crude Oil Index ETF (ASX: OOO)

Our final and best performing ASX exchange-traded fund of the March quarter is this fund from BetaShares. OOO is an ETF that tracks the price of oil futures, and not individual companies. As such, its investors have benefitted enormously from the rise in oil prices that we've seen in recent months. OOO returned a whopping 39.26% over the three months to 31 March. 

The post Here are the 5 best-performing ASX exchange-traded funds over the March quarter appeared first on The Motley Fool Australia.