Defence ETFs

ASX-listed ETFs focused on global defence and aerospace companies, ranked by fund size. Part of the wider thematic ETFs category. A lower fee is one factor among many.

Defence ETFs give exposure to companies that supply military, aerospace and security products and services, such as aircraft, naval systems, missiles, cybersecurity and logistics. The choice on the ASX is narrow: this page lists the funds that track a defence or aerospace theme, and the funds here build their portfolios differently, so it is worth reading each fund's index methodology and holdings before drawing conclusions.

Defence is a focused, single-theme exposure, so it can behave very differently from a broad-market fund. Performance tends to move with government defence budgets, geopolitical events and a small number of large contractors, which can make it more concentrated and more volatile than a diversified portfolio. Most holdings are listed overseas, so currency movements also affect returns, and some investors weigh the ethical considerations of defence exposure, where screening approaches vary between funds. A lower fee is one factor among many. General information only, not financial advice.