2 ASX ETFs to buy and 1 to sell: expert

ASX exchange-traded funds (ETFs) are the most popular way in which more than 8,500 investors are investing, new data shows.

A survey conducted by CMC found Aussies are still keen to invest despite today’s market volatility.

ETFs allow investors to buy a basket of stocks in one trade. Part of the appeal is access to international shares via the ASX.

This week on The Bull, Andrew Wielandt from DP Wealth Advisory has two buys and one sell recommendation for us to consider.

Vanguard Australian Shares High Yield ETF (ASX: VHY)

The Vanguard Australian Shares High Yield ETF share price is $84.35, down 0.2% today and up 8% over 12 months.

VHY ETF tracks the FTSE Australia High Dividend Yield Index, before fees.

VHY invests in ASX dividend shares that have higher forecast dividend yields than other stocks.

Wieland has a buy recommendation on VHY, and explains:

This exchange traded fund provides exposure to a portfolio of Australian companies selected on the basis of their expected dividend yield.

The portfolio is dominated by the major banks and large resource companies, which should continue to generate attractive income and franking credits for investors.

However, as the portfolio is weighted towards financial stocks, it’s not as diversified as other broader based Australian ETFs on the ASX.

Given quarterly distributions and a relatively appealing forecast dividend yield, VHY is more suited to income focused investors.

Plato Global Alpha Fund (ASX: PGA1)

The Plato Global Alpha Fund share price is $15.31, up 1.2% today and up 18% over 12 months.

PGA1 aims to outperform the MSCI World Net Returns Unhedged Index by 4% per annum, after fees.

Wieland also gives this ASX ETF a buy rating, and comments:

PGA1 operates as a long-short exchange traded fund. Since its inception in September 2021, the fund has achieved an annualised return of 23.5 per cent after fees. It has outperformed the global benchmark by 11.74 per cent per annum.

The fund delivered a return of 18.68 per cent in the past year. Stocks in the ETF at June 30, 2026 included Nvidia, Apple, Microsoft and Amazon.

PGA1 has generated a strong track record of performance and offers a relatively bright outlook in volatile financial markets.

I hold PGA1 in my self managed super fund.

HomeCo Daily Needs REIT (ASX: HDN)

The HomeCo Daily Needs REIT share price is $1.11, up 0.6% today and down 19% over 12 months.

This ASX ETF is a real estate investment trust (REIT) that holds properties in the retail, health, and services sectors.

Wieland has a sell rating on this ASX REIT, explaining:

Occupancy was 99 per cent in full year 2026. The underlying properties continue to perform well, with a steady increase in rental income.

However, like a number of other REITs, I believe the prospect of higher interest rates, finance costs amid struggling consumers may pressure HDN’s performance numbers in full year 2027 in what is a challenging retail sector.

HDN shares have fallen from $1.38 on September 18, 2025 to trade at $1.105 on September 17, 2026.

The post 2 ASX ETFs to buy and 1 to sell: expert appeared first on The Motley Fool Australia.

More reading

• How much must I invest in VHY ETF shares to earn a $1,000 passive income in 2027?
• How to make $26,000 of passive income from ASX shares
• 3 excellent ASX dividend shares with 5.5% to 7.7% yields
• My top ASX passive income stocks for the next 10 years
• 9 ASX shares just upgraded by the experts

Motley Fool contributor Bronwyn Allen has positions in Vanguard Australian Shares High Yield ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Amazon, Apple, Microsoft, and Nvidia. The Motley Fool Australia has recommended Amazon, Apple, HomeCo Daily Needs REIT, Microsoft, Nvidia, and Vanguard Australian Shares High Yield ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.