2 good ETFs that might be buys

ETFs can be a really good way to invest, like Betashares Global Cybersecurity ETF.
The post 2 good ETFs that might be buys appeared first on The Motley Fool Australia. –

Exchange-traded funds (ETFs) can be a good way to find diversification.

Some ETFs give exposure to hundreds or even thousands of businesses. While others might have less than 50 positions.

These two ETFs could be ones to think about:

Vanguard Msci Index International Shares ETF (ASX: VGS)

This ETF is about investing in the global share market with businesses that are listed across the world in economically developed countries.

It’s invested in over 1,500 businesses. The portfolio is predominantly invested in US businesses such as Apple, Microsoft,, Alphabet, Facebook, Tesla, JPMorgan Chase, Johnson & Johnson, Visa, UnitedHealth, Berkshire Hathaway, Nvidia and Home Depot.

But there are portfolio positions that are listed in other countries like Nestlé, ASML, Roche, LVMH, Novartis, Toyota, SAP, Softbank and AstraZeneca.

It’s invested in plenty of countries other than the US like Japan, the UK, France, Canada, Germany and Switzerland.

The biggest sector allocation is around 22% of the portfolio to information technology. Other sectors in the portfolio with a double digit allocation include financials, healthcare, consumer discretionary and industrials.

Vanguard Msci Index International Shares ETF has an annual management fee of 0.18%, which is one of the lowest fees in the global ETF market.

The returns of the ETF have been double digit over the long-term. Since inception in November 2014 it has produced net returns of 13% per annum. However, past performance is not an indicator of future performance.

Betashares Global Cybersecurity ETF (ASX: HACK)

This ETF has a much more focused portfolio than the Vanguard one. It has a total of 40 positions in the portfolio.

Its biggest holdings are: Cisco Systems, Accenture, Crowdstrike, Zscaler, Splunk, Proofpoint, Fortinet, Akamai Technologies, Juniper Networks and Leidos.

These businesses are global leaders and emerging players in the cybersecurity space. Cybercrime is on the rise in a world where more important information and data is held online.

More than half of the portfolio is invested in businesses that focus on systems software, but other sectors include IT consulting, communications equipment, internet services and infrastructure, application software and so on.

It has an annual management fee of 0.67%. Betashares Global Cybersecurity ETF has grown its net assets to approximately $492 million.

The large majority of this ETF’s portfolio is invested in US shares, with a weighting of around 90%. The only other countries with a weighting of more than 1% are: Israel (3.4%), the UK (3.1%), Japan (1.4%) and France (1.4%).

Past performance is not an indictor of future performance, but Betashares Global Cybersecurity ETF has produced an average return per annum of 19.3% since inception in August 2016.

The post 2 good ETFs that might be buys appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of May 24th 2021

More reading

3 reasons the iShares S&P 500 ETF (ASX:IVV) could be a buy today
Here’s why this ETF could be a top option for ASX investors

2 quality ETFs that could give your portfolio a boost

2 ETFs that could be buys today for any ASX share portfolio

2 ASX tech shares that might be buys in June 2021

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia owns shares of and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia has recommended Vanguard MSCI Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!