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14 May 2026 · 8 min read · By Luke

Australian ETF Guide 2026: Most Widely Held ETFs by Category, Fee and Fund Size

General information only. Not financial advice. This article does not consider your personal financial situation, objectives or needs. Always read the relevant Product Disclosure Statement (PDS) and Target Market Determination (TMD) before investing, and consider seeking advice from a licensed financial adviser (AFS licence holder).

There are more than 390 ETFs listed on the ASX. This article covers the most widely held ones by category (Australian shares, international shares, US shares, diversified and income) and compares them on objective criteria: management fee, fund size and index tracked.

What to compare when looking at ETFs

Within the same category, ETFs are commonly compared on four objective measures:

  • Management expense ratio (MER): the annual fee charged as a percentage of assets. On a $100,000 holding, a 0.10% MER costs $100 per year.
  • Funds under management (FUM): total assets held. Larger funds tend to have tighter bid-ask spreads and more established track records.
  • Index tracked: the market index the ETF attempts to replicate. Two ETFs tracking similar indices will have similar underlying exposure.
  • Liquidity: average daily trading volume on the ASX. Higher-volume ETFs can generally be bought and sold with less impact on the unit price.

Australian shares ETFs

Australian shares ETFs track broad indices of ASX-listed companies and distribute franking credits to investors. The three most widely held are VAS, A200 and STW.

ETF MER Index Companies
VAS0.07% p.a.S&P/ASX 300~300
A2000.04% p.a.Solactive Australia 200~200
STW0.05% p.a.S&P/ASX 200~200

VAS (Vanguard Australian Shares Index ETF) is the largest Australian ETF by funds under management, holding more than $23 billion in assets as of Q1 2026. It tracks the S&P/ASX 300, covering the 300 largest ASX-listed companies. The MER is 0.07% per year ($7 per $10,000 invested). VAS has been listed since 2009 and distributes quarterly.

A200 (Betashares Australia 200 ETF) tracks the Solactive Australia 200 Index, covering the 200 largest ASX-listed companies. The MER is 0.04% per year ($4 per $10,000 invested). The fee difference between A200 and VAS is 0.03% per year, which equals $30 per year on a $100,000 holding. A200 distributes quarterly. ETFLens calculates approximately 98% holdings overlap between A200 and VAS. The extra 100 companies VAS holds beyond A200 make up less than 5% of VAS by weight.

STW (SPDR S&P/ASX 200 Fund) is the oldest ETF listed on the ASX, having tracked the S&P/ASX 200 since 2001. The MER is 0.05% per year. STW has the longest track record of any Australian shares ETF.

For a detailed fee-difference comparison, the ETFLens Fee Calculator shows the compounded dollar impact of different MERs over 10, 20 and 30 years.

International shares ETFs

International shares ETFs give Australian investors access to developed market companies outside Australia. Two widely held international shares ETFs are VGS and BGBL.

ETF MER Index Holdings
VGS0.18% p.a.MSCI World ex-Australia~1,500
BGBL0.08% p.a.Solactive GBS Developed Markets ex-AU~4,000

VGS (Vanguard MSCI Index International Shares ETF) tracks the MSCI World ex-Australia Index, covering approximately 1,500 large and mid-cap companies across 23 developed markets including the US, Japan, UK, France and Canada. The MER is 0.18% per year. VGS had more than $14 billion in funds under management as of early 2026, having been listed since 2014. It distributes quarterly.

BGBL (Betashares Global Shares ETF) tracks the Solactive GBS Developed Markets ex-Australia Large & Mid Cap Index, covering approximately 4,000 companies across developed markets. The MER is 0.08% per year. The fee difference between VGS and BGBL is 0.10% per year, which equals $100 per year on a $100,000 holding. BGBL launched in May 2023 and distributes annually.

For a detailed comparison of these two funds including the capital gains tax considerations that apply when switching between them, see the ETFLens article VGS vs BGBL: Which global ETF is cheaper?

US shares ETFs

US shares ETFs provide exposure specifically to the United States share market. Two of the most widely held on the ASX are IVV and VTS.

ETF MER Index Holdings
IVV0.03% p.a.S&P 500~500
VTS0.03% p.a.CRSP US Total Market~3,500+

IVV (iShares S&P 500 ETF) tracks the S&P 500 Index, covering the 500 largest US-listed companies by market capitalisation. The MER is 0.03% per year ($3 per $10,000 invested). IVV is among the largest and most traded ETFs on the ASX.

VTS (Vanguard US Total Market Shares Index ETF) tracks the CRSP US Total Market Index, covering more than 3,500 US-listed companies spanning large, mid and small caps. The MER is 0.03% per year. VTS covers the US market more broadly than IVV by including companies outside the S&P 500.

Note: VTS is a US-domiciled fund. The tax treatment for Australian investors differs from Australian-domiciled ETFs in certain respects. Always read the PDS and consider the tax implications before investing.

Diversified ETFs

Diversified ETFs hold multiple asset classes in a single fund, typically a combination of Australian shares, international shares and sometimes bonds. Two of the most widely held are DHHF and VDHG.

ETF MER Growth assets Bonds
DHHF0.19% p.a.100%None
VDHG0.27% p.a.~90%~10%

DHHF (Betashares Diversified All Growth ETF) holds 100% growth assets: a mix of Australian shares, international developed market shares and emerging market shares, spread across four underlying index funds. The MER is 0.19% per year. DHHF launched in 2020 and held approximately $1.3 billion in assets as of early 2026.

VDHG (Vanguard Diversified High Growth Index ETF) holds approximately 90% growth assets and 10% defensive assets including bonds, spread across seven underlying Vanguard index funds. The MER is 0.27% per year. The fee difference between DHHF and VDHG is 0.08% per year, which equals $80 per year on a $100,000 holding.

The key structural difference between the two funds is that DHHF holds no bonds, while VDHG allocates approximately 10% to fixed income. For a detailed comparison, see the ETFLens article VDHG vs DHHF: Bonds or no bonds?

Australian income ETFs

Australian income ETFs focus on ASX-listed companies with above-average dividend yields. The most widely held is VHY.

VHY (Vanguard Australian High Yield ETF) tracks the FTSE ASFA Australia High Dividend Yield Index, which covers ASX-listed companies with above-average forecast dividend yields. The MER is 0.25% per year. VHY typically holds 60–70 companies and distributes quarterly. Because it focuses on dividend-paying companies, its sector composition differs from broad market ETFs, with higher weightings to financials and resources relative to the broader ASX 300.

Data sources

MER figures in this article are sourced from ETFLens's verified holdings database, updated quarterly as at Q2 2026. Fund size figures are approximate and sourced from ASX data as at Q1 2026. ETF fees, composition and holdings change. Always check the fund manager's PDS and website for current information before investing.

Compare any two ETFs side by side: holdings overlap, sector exposure and fee difference in dollars.

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General information only. Not financial advice. This article does not consider your personal financial situation, objectives or needs. Past performance is not an indicator of future performance. Holdings data verified quarterly. Always read the relevant PDS and Target Market Determination (TMD) before investing, and consider seeking advice from a licensed financial adviser (AFS licence holder).

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General information only · Not financial advice · Holdings data verified quarterly · Always read the relevant PDS and consider seeking advice from a licensed financial adviser before making investment decisions.