ETF Investing in Australia
Exchange-Traded Funds (ETFs) have transformed how Australians invest. For a single brokerage fee, you can buy a diversified portfolio of hundreds or thousands of shares, bonds, or other assets — tracking a market index at low cost. As of 2026, over $200 billion is invested in ASX-listed ETFs, with the market growing rapidly year on year.
This hub covers everything you need to know about ETF investing in Australia — from the basics to comparing specific funds.
What Is an ETF?
An ETF is a fund that holds a basket of assets (shares, bonds, commodities) and is listed on the ASX like a regular share. Most ETFs track an index — meaning they buy all (or most) of the securities in an index like the ASX 200 or the MSCI World Index — delivering the market’s return at very low cost.
Key characteristics:
- Bought and sold on the ASX through any broker account
- Usually passively managed (tracks an index)
- Very low fees — typically 0.03% to 0.55% per year
- Instantly diversified — one ETF can hold hundreds of companies
- Transparent — ETF holdings are published daily
→ What Is an ETF? → How ETFs Work → ETFs vs Managed Funds → ETF MER (Management Expense Ratio) Explained → Passive vs Active ETFs → ETF Distributions and Tax in Australia
Australian Share ETFs
Australian share ETFs track the ASX — giving you diversified exposure to Australia’s largest listed companies, including the Big Four banks, BHP, CSL, and Wesfarmers.
The most popular Australian share ETFs:
| ETF | Provider | Index tracked | MER |
|---|---|---|---|
| VAS | Vanguard | S&P/ASX 300 | 0.07% |
| A200 | BetaShares | Solactive Australia 200 | 0.04% |
| IOZ | iShares | S&P/ASX 200 | 0.05% |
| STW | SPDR | S&P/ASX 200 | 0.13% |
| VHY | Vanguard | ASX high dividend yield | 0.25% |
→ VAS ETF Review → A200 ETF Review → VAS vs A200 — Which Is Better? → IOZ ETF Review → Best Australian Share ETFs
Diversified “All-in-One” ETFs
Diversified ETFs hold a mix of Australian shares, international shares, and sometimes bonds — in a single fund. They automatically rebalance and are ideal for investors who want a complete portfolio in one ETF.
Popular diversified ETFs:
| ETF | Provider | Allocation | MER |
|---|---|---|---|
| DHHF | BetaShares | 100% shares (global + AU) | 0.19% |
| VDHG | Vanguard | 90% shares / 10% bonds | 0.27% |
| VDGR | Vanguard | 70% shares / 30% bonds | 0.27% |
| VDBA | Vanguard | 50% shares / 50% bonds | 0.27% |
| VDCO | Vanguard | 30% shares / 70% bonds | 0.27% |
→ DHHF ETF Review → VDHG ETF Review → VDHG vs DHHF — Which Is Better? → VDGR ETF Review → Diversified ETFs Australia → Best ETF for Beginners Australia
International Share ETFs
International ETFs give Australian investors exposure to the US, European, Asian, and global share markets — beyond the ASX.
| ETF | Provider | Coverage | MER |
|---|---|---|---|
| VGS | Vanguard | Developed world (ex-AU) | 0.18% |
| BGBL | BetaShares | Developed world (ex-AU) | 0.08% |
| NDQ | BetaShares | NASDAQ 100 (US tech) | 0.48% |
| IVV | iShares | S&P 500 (US) | 0.04% |
| VEU | Vanguard | All world (ex-US) | 0.07% |
| VGE | Vanguard | Emerging markets | 0.48% |
→ VGS ETF Review → NDQ ETF Review → Best International ETFs Australia → Hedged vs Unhedged ETFs → Emerging Markets ETFs Australia
Thematic and Sector ETFs
Thematic ETFs target specific sectors, industries, or investment themes.
→ Gold ETFs in Australia → ESG ETFs Australia → Technology ETFs Australia → REIT ETFs Australia → Infrastructure ETFs Australia → Healthcare ETFs Australia
Bond and Fixed Income ETFs
Bond ETFs hold Australian government bonds, corporate bonds, or international fixed income — providing income and portfolio stability.
→ Bond ETFs Australia Explained → VAF ETF Review → Best Bond ETFs Australia → Fixed Income ETFs Explained
ETF Strategy and Tax
→ How to Invest in ETFs in Australia → Best ETFs in Australia (2026) → Building an ETF Portfolio in Australia → Dollar Cost Averaging with ETFs → ETF Tax in Australia
ETF Provider Guides
→ Vanguard ETFs Australia — Complete Guide → BetaShares ETFs Australia — Complete Guide → iShares ETFs Australia — Complete Guide
Key Facts About ETFs in Australia
- The ASX lists over 300 ETFs as of 2026
- Vanguard and BetaShares are the two largest ETF providers in Australia by assets under management
- The cheapest ASX ETF is A200 at 0.04% MER — meaning $4 per year in fees on $10,000 invested
- Australian ETFs pass through franking credits from Australian shares held in the fund
- ETF distributions are taxable in the year received; capital gains only on sale
This hub page provides general financial information only. For advice tailored to your situation, speak with a licensed financial adviser. You can find one through the ASIC financial advisers register or MoneySmart.