I'm a big fan of exchange traded funds (ETFs) and believe they can be great additions to a balanced portfolio.
This is because they allow investors to invest across a large and diverse number of different shares through just a single investment.
There are a lot of ETFs for investors to choose from, but three of the best in my opinion are listed below. Here's why I like them:
BetaShares Asia Technology Tigers ETF (ASX: ASIA)
The first ETF to look at buying is the BetaShares Asia Technology Tigers ETF. This fund gives investors exposure to the 50 largest technology and ecommerce companies that have their main area of business in Asia (excluding Japan). This includes tech giants such as Alibaba, Baidu, JD.com, and Tencent Holdings. Given that these companies are among the fastest-growing in the region, I believe this ETF could generate market-beating returns over the next decade.
BetaShares NASDAQ 100 ETF (ASX: NDQ)
The second option I would suggest investors consider buying is the BetaShares NASDAQ 100 ETF. As its name implies, this ETF gives investors access to the famous NASDAQ 100 index. This means investors will be getting exposure to some of the largest tech companies in the world such as Amazon, Apple, Facebook, and Netflix. Given the positive outlooks of the majority of the companies on the index, I believe the Nasdaq 100 ETF can generate strong returns for investors over the next decade.
Vanguard MSCI Index International Shares ETF (ASX: VGS)
A final ETF for investors to consider buying is the Vanguard MSCI Index International Shares ETF. This ETF gives investors exposure to many of the biggest companies from indices across the world. Among the 1,579 shares that the fund gives investors access to are the likes of Apple, Nestle, Proctor & Gamble, and Google parent, Alphabet. While I wouldn't expect it to generate as strong returns as the other two ETFs, it should offer stability and also a source of income.
