2020 has been one of the most volatile years in modern trading history. At Dividend Investing we are long term investors but it always help to keep up and see what are some of the best performing ETFs to keep track of what other investors like and which sectors or asset classes are doing well.
The list of ETFs below have been ranked based on 1 year returns and it is obvious there are some key themes running through the top ETFs on the ASX.
Key 3 Market Trends from Top Performing ETFs of 2020
Investors Love Gold ETFs
VanEck Vectors Gold Miners ETF
ETFS Physical Gold
Gold is known as a safe haven asset and uncertain times these type of assets outperform. Gold ETFs is one of the main proxies investors can own gold, another popular avenue is through gold future but this requires constant trading to roll the future contracts.
In addition of owning the commodity directly gold miners has also been out performing.
Technology Accelerating Disruption
BetaShares NASDAQ 100 ETF
ETFS Morningstar Global Technology ETF
Covid has been on of the biggest disruptors investors has faced since the GFC. In some instances it has accelerated trends that already existed and the technology sector has clearly benefited than being disrupted themselves. However investor should be aware there are signs of another technology bubble brewing.
The Fall in the AUD buffeting offshore investments
iShares S&P 500 ETF (ASX IVV)
Another take away from the list of the best ASX etfs is the heavy weighting towards funds which invests overseas. The US markets has outperform the rest of the world and ASX IVV allows investors to track the S&P 500.
We been shifting our focus to European markets where we think it will do better in the post covid environment.
Best ASX ETFs