Tech Sector ETFs Available on the ASX

Exchange-traded funds (ETFs) provide access to shares from companies worldwide. They can be traded like any ordinary stock in the ASX. But unlike trading specific stocks, each unit of ETF is equivalent to a pool of diversified securities.

 

Technology ETFs are popular because of the continuous growth of the tech landscape, regardless of the country involved. The increasing number of innovative hardware and software being introduced to the market, along with the expanding use of the internet, are the factors that draw in more investors to put their money in the tech sector.

 

If you’re looking for a way to expand your portfolio by investing in international tech stocks, there are tech ETFs in the ASX that you can consider.

 

  • HACK

Betashares Global Cybersecurity ETF (HACK) gives you exposure to stocks of cybersecurity companies. This ETF tracks the Nasdaq Consumer Technology Association Cybersecurity Index.

 

The bulk of the holdings belong to US companies, with more than 80% of the fund invested in the country. The rest of the funds are divided into Israel, Japan, Britain, France, South Korea, and other places.

 

The management fee for the ETF is around 0.67% per annum. Distributions are made twice a year.

 

  • NDQ

Betashares NASDAQ 100 ETF (NDQ) gives you exposure to 100 of the largest non-financial securities on the NASDAQ stock market. The top 100 is chosen according to the companies’ market capitalisation.

 

This ETF monitors the performance of the NASDAQ-100 index. The management cost for the fund is 0.48% per annum.

 

The top stocks included in the portfolio are Apple, Microsoft, Alphabet, Amazon.com, Intel, and Facebook.

 

  • ROBO

The Securities Global Robotics and Automation ETF (ROBO) follows the Global Robotics and Automation Index. The index is composed of stocks of listed companies dealing with automation, artificial intelligence, and robotics.

 

The management fee for the fund is around 0.69% per year. Distribution of profits are made annually.

 

The holdings in the ETF are distributed across listed companies from different stock exchanges. The largest portion is invested in the US, followed by Japan and Germany.

 

  • LNAS

ETFS Ultra Long Nasdaq 100 Hedge Fund (LNAS) provides exposure to the Nasdaq-100 index primarily through derivatives. The investment focuses on futures contracts and highly uses leveraging.

 

  • SNAS

ETFS Ultra Short Nasdaq 100 Hedge Fund (SNAS) provides exposure to the Nasdaq-100 index. It focuses on the most innovative tech companies in the world like Apple, Tesla, and Google.

 

SNAS targets the short-term movement of the Nasdaq index to get an anticipated return of 2.00% to 2.75% in the opposite direction.

 

  • ATEC

BetaShares S&P/ASX Australian Technology ETF (ATEC) provides exposure to the top ASX-listed tech-related companies. It tracks the S&P/ASX All Technology Index that monitors segments such as consumer electronics, online retail, and medical and information technologies.

 

The management cost of the fund is around 0.48% per annum without any fees.

 

Conclusion

Investing in ETFs is a good way to gain instant portfolio diversification. Tech ETFs are especially popular now because of the growing internet usage and the rapid innovation in the tech landscape. But don’t be too complacent and put all your eggs in one basket to avoid the unnecessary increase in risk.

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