Key findings
- NDQ charges 0.48% p.a. and VGS charges 0.18% p.a..
- NDQ tracks the Nasdaq 100 and holds 100 of the largest non-financial companies on the Nasdaq, heavily weighted to US technology; VGS tracks the MSCI World index and holds approximately 1,412 companies across developed markets.
- NDQ is concentrated in US technology; VGS is broadly diversified across sectors and countries.
- General information only, not financial advice.
NDQ and VGS are two of the most widely held ETFs on the ASX, but they are built for very different jobs. NDQ concentrates your money in the 100 largest non-financial companies on the Nasdaq, heavily weighted toward US technology. VGS spreads it across 1,412 companies in 23 developed countries. This article compares them on fees, holdings, concentration risk and how they fit together in a portfolio. General information only, not financial advice.
At a glance
| NDQ | VGS | |
|---|---|---|
| Full name | Betashares Nasdaq 100 ETF | Vanguard MSCI Index International Shares ETF |
| Provider | Betashares | Vanguard |
| Index tracked | Nasdaq-100 | MSCI World ex-Australia |
| Holdings | 101 | ~1,412 |
| MER | 0.48% p.a. | 0.18% p.a. |
| Fund size (Q2 2026) | $8.6B | $40.9B |
| Distributions | Quarterly | Quarterly |
| Geography | US only | 23 developed markets (~72% US) |
| Largest sector | Technology (~55%) | Technology (~25%) |
| Domicile | Australian | Australian |
| Listed on ASX | 2015 | 2014 |
What NDQ holds
NDQ is the Betashares Nasdaq 100 ETF. It tracks the Nasdaq-100 Index, which covers the 100 largest non-financial companies listed on the Nasdaq exchange in the United States. Technology dominates: Apple, Microsoft, Nvidia, Amazon, Meta, Alphabet and Tesla are among the top holdings, with the technology sector making up roughly 55% of the fund by weight. Consumer discretionary and healthcare account for most of the remainder.
Two things stand out about NDQ's construction. Financial companies are explicitly excluded from the Nasdaq-100 index. No banks, insurers or financial services firms appear in the fund. And every one of the 100 holdings is a US-listed company. NDQ has zero geographic diversification outside the United States.
NDQ charges 0.48% p.a. per year and held $8.6 billion in assets as of Q2 2026. It has been listed on the ASX since May 2015 and distributes quarterly. Both NDQ and VGS are Australian-domiciled, so Australian investors face the same tax treatment under the Australian Tax Office for both funds.
What VGS holds
VGS is the Vanguard MSCI Index International Shares ETF. It tracks the MSCI World ex-Australia Index, holding approximately 1,412 large and mid-cap companies across 23 developed markets. The United States makes up around 72% of the fund by weight, with Japan, the United Kingdom, France, Canada and Switzerland accounting for much of the rest.
VGS is broadly diversified across sectors. Information Technology is the largest at around 25.3%, but financials, health care, consumer discretionary, industrials and communication services are all meaningful allocations. VGS holds many of the same large companies as NDQ (Apple, Microsoft, Nvidia, Amazon, Meta and Alphabet) but because these are spread across 1,412 holdings, technology represents roughly a quarter of VGS rather than more than half.
VGS charges 0.18% p.a. per year and held $40.9 billion in assets as of Q2 2026. It has been listed on the ASX since November 2014 and distributes quarterly.
How much do NDQ and VGS overlap?
There is meaningful overlap at the top of both funds. Apple, Microsoft, Nvidia, Amazon, Meta and Alphabet appear among the largest holdings in both NDQ and VGS. In NDQ these names carry significant weight, with individual positions that can exceed 8% of the fund. In VGS even the largest individual holdings sit at around 3 to 4% because the weight is spread across 1,412 companies.
Beyond the shared tech giants, the two funds diverge considerably. The other 1,175 companies in VGS sit entirely outside NDQ: Japanese manufacturers, European banks, British consumer companies, Canadian energy firms, Swiss pharmaceutical businesses. Those holdings give VGS exposure that NDQ does not offer at all.
Investors can check the exact holdings overlap between NDQ and VGS on the ETFLens compare tool, which calculates overlap from top holdings reported from fund manager disclosures, reviewed quarterly.
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On a $10,000 investment, here is what each fund costs per year:
That is a $30 difference on $10,000, or $300 per year on a $100,000 holding. The fee gap between NDQ and VGS is larger than many investors expect given that both are passive index ETFs. NDQ's higher fee reflects the licensing cost of the Nasdaq-100 brand name. The Nasdaq charges fund managers a premium to use the index, and that cost flows through to investors in the MER. VGS tracks an MSCI index with lower licensing costs and passes the saving on.
The compounding impact of a 0.30% annual difference grows over time. The ETFLens Fee Calculator lets you model the exact dollar difference for any balance and time horizon.
Concentration and risk
NDQ is a concentrated sector position. One hundred companies, all US-listed, with more than half the fund in technology. When US technology companies perform well, NDQ has historically outperformed broad global ETFs by a wide margin. When they fall, NDQ falls harder. In 2022, the Nasdaq-100 declined more than 30% as rising interest rates compressed valuations for high-growth companies. VGS fell less than 20% in the same period.
VGS spreads risk across countries, sectors and company types. A single sector falling sharply has a more limited impact on VGS than on NDQ. VGS will typically show less extreme performance in either direction compared to NDQ.
This is not a verdict for one fund over the other. Some investors deliberately want concentrated technology exposure and understand what they are taking on. Others prefer the broader diversification that VGS provides. The right approach depends on individual circumstances, investment objectives and risk tolerance. General information only.
Performance
NDQ has delivered significantly higher returns than VGS over the past decade, driven by the extraordinary growth of US technology companies during that period.
Past performance is not a reliable indicator of future performance. The conditions that drove NDQ's outperformance (falling interest rates, rapid valuation expansion for growth companies, the increasing dominance of a small group of US technology businesses) are not guaranteed to continue. Higher past returns also came with materially higher volatility. In 2022 alone, NDQ fell more than 30% while VGS fell less than 20%. Investors comparing historical performance should consider the drawdowns alongside the gains.
Distributions and income
Both NDQ and VGS distribute quarterly. Distribution yields tend to be low for both funds because the underlying companies reinvest a large proportion of their earnings for growth rather than paying large dividends. This is especially true of NDQ, where growth-oriented technology companies historically pay modest dividends relative to their earnings. VGS distributions are also relatively modest compared to Australian shares ETFs such as VAS.
Neither fund includes Australian franking credits because both hold overseas companies. Past distributions are not a reliable indicator of future distributions. Check the current product disclosure statement for the most recent distribution history.
Holding NDQ and VGS together
Some investors hold both NDQ and VGS. Unlike VAS and A200 (which track near-identical Australian market exposure), NDQ and VGS are meaningfully different in what they hold beyond their shared top names.
Investors who hold VGS already have meaningful exposure to the largest Nasdaq companies through VGS top holdings. Adding NDQ concentrates further into those same US technology names and reduces the sector and geographic diversification that VGS provides. Whether that trade-off reflects an investor's intended allocation depends entirely on their individual objectives and risk tolerance.
This is general information only and not a recommendation to buy or not buy either fund. Consider seeking advice from a licensed financial adviser who can assess your specific circumstances.
The bottom line
NDQ and VGS are not interchangeable. They answer different investment questions.
NDQ is a deliberate, concentrated position in US technology. It charges 0.48% p.a. per year, holds 100 companies and is entirely exposed to US market conditions. Its performance is closely tied to the fortunes of a handful of large technology businesses.
VGS is a broadly diversified global shares fund. It charges 0.18% p.a. per year, holds 1,412 companies across 23 countries and spreads exposure across multiple sectors and geographies at a significantly lower fee than NDQ.
Investors choosing between NDQ and VGS are typically deciding between a concentrated technology sector position and a broadly diversified global shares holding, rather than comparing two similar products.
See the full side-by-side breakdown: holdings overlap, sector exposure and fee difference in dollars.
Compare NDQ vs VGS on ETFLens →General information only. Not financial advice. This article does not consider your personal financial situation, objectives or needs. Past performance is not a reliable indicator of future performance. MER and fund size data reported from fund manager disclosures, reviewed quarterly. Always check the current PDS for the most recent fee and holdings information before investing. ETFLens does not hold an Australian Financial Services Licence. Always read the relevant PDS and consider seeking advice from a licensed financial adviser (AFS licence holder) before making any investment decisions.