Have you thought of diversifying your portfolio by including international stocks? Considering the risks associated with a single demography, many Indian investors are weighing their scope in the international market.
While you might find it challenging to invest in global stocks directly, it’s easy to gain exposure through international ETFs. They offer you the advantage of trading just like stocks at real market prices.
In this blog, we have curated five international ETFs that Indian investors are turning to gain international market exposure.
5 Best international ETFs to invest in
The five international ETFs we listed below have helped investors grow their wealth significantly over the last five years.
1. Motilal Oswal Nasdaq 100 ETF
The Motilal Oswal Nasdaq 100 ETF tracks the Nasdaq-100 index. With this ETF, you get to invest in some of the largest non-financial companies that are listed in the US. Particularly, it helps you gain exposure in the technology and innovation sectors.
The stock invests in global leaders across different sectors like e-commerce and digital platforms. If you are looking to ride long-term growth in innovation-oriented companies, this ETF can be a suitable choice.
- 1-Year return: 74.55%
- 3-Year return: 180.01%
- 5-Year return: 181.69%
- Expense ratio: 0.59%
2. Mirae Asset NYSE FANG+ ETF
This ETF follows the NYSE FANG+ index, which has been composed around a concentrated set of globally recognised companies associated with the technology and internet sectors. Therefore, you gain exposure to businesses that drive digital transformation, social media, and other next-generation platforms.
If you are comfortable with higher volatility in exchange for better growth potential, you may consider investing in this concentrated ETF. It helps you gain a targeted exposure to high-impact global companies.
- 1-Year return: 54.52%
- 3-Year return: 259.52%
- 5-Year return: 248.50%
- Expense ratio: 0.66%
3. Nippon Hang Seng ETF
This Hang Seng ETF tracks the Hang Seng index, helping Indian investors gain exposure to companies listed in Hong Kong. It invests in businesses operating across sectors like finance, technology, and consumer goods.
So, if you are looking to diversify your portfolio beyond the US and participate in Asian markets other than India, this ETF can be an option.
- 1-Year return: 39.62%
- 3-Year return: 84.85%
- 5-Year return: 43.33%
- Expense ratio: 0.93%
4. Motilal Oswal Nasdaq Quality 50 ETF
The Motilal Oswal Nasdaq Quality 50 ETF tracks a curated set of companies from the Nasdaq that meet specific criteria in terms of quality and financial strength. It does not cover a broad index. Instead, it invests in businesses that have been delivering consistent performance and have strong balance sheets.
The earnings profiles of the Nasdaq Quality 50 index look healthy. You may consider this ETF if you’re more selective while gaining exposure to global equities.
- 1-Year return: 85.39%
- 3-Year return: 136.83%
- 5-Year return: 87.72%
- Expense ratio: 0.47%
5. Mirae Asset S&P 500 Top 50 ETF
This ETF invests in some of the leading companies from the S&P 500 index. In the process, you gain exposure to some of the most established companies in the US. It invests in a wide range of industries, including technology, healthcare, and consumer goods.
As a result, it’s an option for Indian investors looking for stability while diversifying across the international market. Particularly, if you want to grow with established global leaders instead of niche or concentrated themes, you may consider investing in this ETF.
- 1-Year return: 58.04%
- 3-Year return: 161.89%
- 5-Year return: 166.55%
- Expense ratio: 0.61%
Conclusion
Today, global investing has become far more accessible for Indian investors than it was even a decade ago. As you try to diversify your portfolio to minimise the concentration risk, these five ETFs may help you gain exposure to both the US and Asian markets. Over time, global investments can help you build a more resilient portfolio.
