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Best ASX ETFs for new investors in 2025

The Motley Fool·07/03/2025 03:46:39
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If you are new to investing and looking for a simple, low-maintenance way to get started on the ASX, exchange-traded funds (ETFs) could be the answer.

ETFs are diversified, cost-effective, and easy to trade. They allow you to invest in a broad selection of shares — or even whole sectors — through just a single investment.

For beginners, that's a smart way to get exposure to the share market without needing to pick individual stocks.

With that in mind, here are three of the best ASX ETFs for new investors to look at:

Vanguard Australian Shares Index ETF (ASX: VAS)

The Vanguard Australian Shares Index ETF is one of the most popular ETFs on the ASX — and for good reason.

It provides exposure to the largest 300 shares on the Australian share market, including household names like BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), and Woolworths Group Ltd (ASX: WOW). It also includes smaller names like Accent Group Ltd (ASX: AX1). Adairs Ltd (ASX: ADH), and Myer Holdings Ltd (ASX: MYR).

By investing in the Vanguard Australian Shares Index ETF, you get broad diversification across industries such as mining, banking, retail, and healthcare. The ETF has a low management fee and regularly pays dividends, making it a good option for long-term investors who want both growth and income.

Betashares Nasdaq 100 ETF (ASX: NDQ)

Another option for new investors is the Betashares Nasdaq 100 ETF. It tracks the Nasdaq-100 Index, giving you exposure to 100 of the most innovative and high-growth companies listed in the United States. This includes giants like Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), NVIDIA (NASDAQ: NVDA), Tesla (NASDAQ: TSLA), and Amazon (NASDAQ: AMZN).

For investors who want to tap into global technology, this ASX ETF is a compelling option. While it can be more volatile than some funds, it offers strong long-term growth potential. For new investors with a long time horizon, that can be a real advantage.

Betashares Australian Quality ETF (ASX: AQLT)

The Betashares Australian Quality ETF is designed to give exposure to high-quality Australian shares selected based on strong profitability, cash flow, and balance sheets.

This ASX ETF leans toward businesses that are more resilient in tough conditions — think companies with a durable competitive advantage and consistent earnings. This includes names like biotech CSL Ltd (ASX: CSL) and Kmart and Bunnings owner Wesfarmers Ltd (ASX: WES).

Overall, the Betashares Australian Quality ETF could be a great way for beginners to get exposure to top-performing companies and avoid the speculative side of the market. It was recently named as one to buy by the team at Betashares.

The post Best ASX ETFs for new investors in 2025 appeared first on The Motley Fool Australia.

John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Motley Fool contributor James Mickleboro has positions in Accent Group, BetaShares Nasdaq 100 ETF, and CSL. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Adairs, Amazon, Apple, BetaShares Nasdaq 100 ETF, CSL, Microsoft, Nvidia, Tesla, and Wesfarmers. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has positions in and has recommended Adairs and BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Accent Group, Amazon, Apple, BHP Group, CSL, Microsoft, Myer, Nvidia, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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