Buy these market-beating ASX ETFs in FY25

In the last financial year the ASX 200 index delivered a return of 7.8% before dividends.

While this was a great performance, there were a number of exchange-traded funds (ETFs) that achieved market-beating returns over the 12 months.

For example, the three ASX ETFs listed below all made their unitholders smile in FY 2024. And the good news is that they could continue this trend long into the future. Here’s why:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

This hugely popular ASX ETF continued its winning ways in the last financial year. During the 12 months, the BetaShares NASDAQ 100 ETF delivered a return of approximately 30%.

This was driven by strong performances from many of its 100 holdings during the period. One of those was of course Nvidia (NASDAQ: NVDA), which almost tripled in value during the year. This made the graphics processing units company the largest on Wall Street at one stage with a market capitalisation above US$3 billion.

Looking to the future, this ETF looks well-positioned thanks to the positive long-term outlooks of many of the companies held by the fund. These are the tech behemoths that provide the search engines, streaming services, mobile phones, spreadsheets, electric vehicles, and online shopping platforms we use daily.

Betashares Global Quality Leaders ETF (ASX: QLTY)

Another ASX ETF that beat the market in the last financial year was the Betashares Global Quality Leaders ETF.  It achieved a return of 23% over the 12 months.

It seems that the fund’s focus on investing in the highest quality companies in the world is working wonders for investors. Betashares’ chief economist, David Bassanese, will no doubt be pleased with this return. He recommended the ETF last year.

At present, there are approximately 150 companies included in the fund. These companies rank highly on four key metrics: return on equity, debt-to-capital, cash flow generation, and earnings stability. Given its success last year, it wouldn’t be surprising if this ETF continues its strong form

Vanguard MSCI Index International Shares ETF (ASX: VGS)

The popular Vanguard MSCI Index International Shares ETF outperformed with a gain of almost 19% during the last financial year.

It isn’t hard to see why this ASX ETF delivered the goods for investors. That’s because it is focused on buying 1,500 of the world’s largest listed companies from major developed countries.

This means that you are buying a slice of high-quality global giants from a range of industries. This includes Apple, Johnson & Johnson, JP Morgan, Nestle, and Visa.

The post Buy these market-beating ASX ETFs in FY25 appeared first on The Motley Fool Australia.

More reading

• 2 of the best reasons to buy ASX ETFs
• Why it’s a big day for ASX ETFs
• Top ASX shares to buy in July 2024
• Could these be the best ASX tech ETFs to buy for FY25?
• Here’s how the ASX 200 market sectors stacked up last week

JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Nasdaq 100 ETF, JPMorgan Chase, Nvidia, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Johnson & Johnson and Nestlé. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Nvidia and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.