There are more than 200 exchange-traded funds (ETFs) listed on the ASX – and this figure is growing each month. We put a lot of time into reviewing and assessing the marketplace, considering factors such as fund size, liquidity, tracking error and relative costs. We review our ETF selections regularly to ensure they represent the best available investment options for you.

We choose the best ETFs in Australia from reputable issuers such as Vanguard Australia, Blackrock, Betashares, State Street and Van Eck.

Australian Shares

ETF
State Street S&P/ASX 200 Fund
Ticker
STW
Focus
Australia’s first ETF. Tracks the 200 largest and most liquid publicly listed entities in Australia
Examples of top holdings 
CSL, Commonwealth Bank, BHP Billiton, Westpac, NAB, ANZ, Woolworths, Wesfarmers, Telstra, Transurban
Why we’ve chosen this ETF

  • Oldest, one of the largest & most heavily traded ETFs which tracks the ASX200 index (recognised as primary investable benchmark in Australia)
  • Tight spreads (0.05%) and low tracking error (averaging approximately 0.1% since inception)
  • Rated “Very Strong” by S&P

International Shares (Unhedged)

ETF
Vanguard MSCI Index International Shares ETF
Ticker
VGS
Focus
Unhedged exposure to more than 1500 securities across 22 of the world’s major developed economies
Examples of top holdings
Microsoft, Apple, Amazon, Alphabet, Facebook, Johnson & Johnson, Nestle SA, JP Morgan Chase, Visa, Procter and Gamble Co
Why we’ve chosen this ETF

  • Exposure to the world’s largest companies listed in major developed countries (ideal basis for an ex-Australia global asset class)
  • Very low MER (0.18%) and minimal tracking error
  • Growing FUM with a very large ($12bn) underlying fund with a long operating history
  • Australian domiciled structure simplifies withholding tax administration
  • Two reputable market makers helps ensure liquidity/competition/fair pricing vs NAV 

International Shares (Hedged)

ETF
Vanguard MSCI Index International Shares (Hedged) ETF
Ticker
VGAD
Focus
Hedged exposure to more than 1500 securities across 22 of the world’s major developed economies
Examples of top holdings
Apple, Microsoft, Alphabet, Amazon, Facebook, JP Morgan Chase, Johnson & Johnson, Visa, Nestle SA, Procter & Gamble
Why we’ve chosen this ETF

  • Exposure to the world’s largest companies listed in major developed countries (ideal basis for an ex-Australia global asset class)
  • Very low MER and minimal tracking error
  • Australian domiciled structure simplifies withholding tax administration
  • Hedged foreign exchange position provides protection from possible negative impacts of currency fluctuations

 

Global Listed Property

ETF
SPDR Dow Jones Global Real Estate Fund
Ticker
DJRE
Focus
Tracks a range of more than 200 real estate investment trusts (REITs) and real estate operating companies which are listed on major exchanges around the world
Examples of top holdings
Prologis, Simon Property Group, Public Storage, Welltower Inc, Avalonbay Communities, Equity Residential, Digital Realty Trust, Mitsui Fudosan, Ventas Inc, Essex Property Trust
Why we’ve chosen this ETF

  • Large, low-cost and liquid Australian ETF that provides exposure to global listed property assets
  • Provides diversified exposure across REIT assets in more than 15 countries
  • Underlying holdings are broadly spread across retail, industrial, office, healthcare and other market segments
  • Australian domiciled structure simplifies withholding tax administration

Global Infrastructure

ETF
VanEck Vectors FTSE Global Infrastructure (Hedged) ETF
Ticker
IFRA
Focus
Invests in a diversified portfolio of infrastructure securities listed on exchanges of developed countries around the world
Examples of top holdings
Nextera Energy, Transurban Group, American Tower Corp, AENA SME SA, Atlantia SPA, Southern Co, Duke Energy Corp, Enbridge, Dominion Energy, Crown Castle International
Why we’ve chosen this ETF

  • Provides exposure to a traditionally defensive, stable income asset class that has historically had very low correlation to other asset class movements
  • Broad and comprehensive underlying index
  • Highly diversified mix of securities and sub-sectors
  • Hedged structure minimises currency exposure
  • Two reputable market makers helps ensure liquidity/ competition/fair pricing vs NAV

Emerging Markets Shares

ETF
Vanguard FTSE Emerging Markets Shares ETF
Ticker
VGE
Focus
Provides exposure to 21 of the world’s emerging economies across Asia, Latin America, Europe, Africa and the Middle East
Examples of top holdings
Alibaba, Tencent, Taiwan Semiconductor Manufacturing, Samsung, China Construction Bank, Naspers, Ping An Insurance Group, Reliance Industries, Housing Development Finance Corp, China Mobile
Why we’ve chosen this ETF

  • Provides exposure to more than 3,500 shares listed on the exchanges of more than 20 of the world’s emerging economies
  • Growing FUM with a very large ($12bn) underlying fund with a long operating history
  • Low relative MER for an emerging market offering
  • Australian domiciled structure simplifies withholding tax administration
  • Two reputable market makers helps ensure liquidity/competition/fair pricing vs NAV

Australian Fixed Income/Bond

ETF
iShares Composite Bond ETF
Ticker
IAF
Focus
Invests primarily in investment grade fixed income securities
Examples of top holdings
Variety of fixed income securities issued by Australian Federal and State Governments and certain investment grade non-government entities
Why we’ve chosen this ETF

  • Competitive MER and spreads relative to other bond ETF providers
  • One of the largest and most liquid bond ETFs in Australia

High Yield Cash Assets

ETF
BetaShares Australian High Interest Cash ETF
Ticker
AAA
Focus
Invests all its assets in high-interest bank deposit accounts with selected major banks in Australia
Examples of top holdings
Mix of at-call, notice account and term deposits (up to 90 days maturity) across major banks.
Why we’ve chosen this ETF

  • Only ETF in Australia that provides exposure to actual bank/cash instruments
  • Large FUM and highly liquid
  • Low fees 
  • Tight spread (daily bid:ask 0.02%)
  • Two reputable market makers helps ensure liquidity/competition/fair pricing vs NAV