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Written by Jennifer Pelegrin
Fact checked by Rania Gule
Updated 5 September 2025
Table of Contents
The best ETFs for 2025 are attracting attention from investors who want to grow their money without overcomplicating things. These funds make it easy to gain exposure to a wide range of assets, from global stocks and bonds to commodities and niche sectors, with a single trade, all while keeping costs low.
In this guide, we’ve selected 15 ETFs that stand out for their performance, stability, and diversification potential. The list is based on factors like historical returns, expense ratios, and sector or regional focus, helping you find the ones that best match your goals and investing style.
Key Takeaways
The best ETFs for 2025 make diversification easy by giving you exposure to global stocks, bonds, and sectors in a single trade.
Every investing style can find a match, whether the goal is long-term growth, steady dividend income, or portfolio stability.
Low expense ratios help maximize returns over time while keeping ETFs flexible and highly liquid.
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An exchange-traded fund (ETF) is an investment fund that holds a collection of assets, such as stocks, bonds, or commodities, and trades on a stock exchange just like a regular share. Each share of an ETF represents a small stake in all the assets it holds, giving investors instant ETF portfolio diversification without having to buy each asset individually.
While ETFs and mutual funds share the goal of pooling investors’ money, they work differently. Mutual funds are priced once a day after markets close, whereas ETFs can be bought or sold throughout the trading day at market prices, offering greater flexibility.
ETFs also tend to have a low expense ratio, making them a cost-effective option for both beginners and experienced investors.
Other key advantages include high liquidity, which makes entering and exiting positions easier, and potential ETF tax efficiency, since many ETFs are structured to minimize capital gains distribution.
Choosing the best ETFs for 2025 can help investors balance long-term growth, income generation, and risk management. ETFs remain a preferred choice for many in 2025 due to their diversification, low expense ratios, and accessibility for both beginners and experienced traders.
ETF Name
Ticker
Type
Focus Area
Expense Ratio
Why It’s a Top Pick
SPDR S&P 500 ETF Trust
SPY
Index ETF
U.S. Large-Cap Stocks
0.0945%
Tracks the S&P 500 Index, making it one of the best ETFs for 2025 for core U.S. equity exposure with high liquidity and proven performance.
Vanguard Total Stock Market ETF
VTI
U.S. Total Market
0.03%
Offers complete U.S. equity exposure, from small to large caps, and is among the low expense ratio ETFs ideal for long-term investors.
iShares MSCI Emerging Markets ETF
EEM
International ETF
Emerging Markets
0.72%
A leading emerging markets ETF providing access to fast-growing economies like China, India, and Brazil for diversification.
Vanguard Dividend Appreciation ETF
VIG
Dividend ETF
Dividend Growth Stocks
0.05%
One of the top dividend growth ETFs, focusing on companies with at least 10 consecutive years of dividend increases.
Invesco QQQ Trust Series I
QQQ
Sector ETF
Technology & Growth
0.20%
A flagship technology ETF that tracks the Nasdaq-100, offering strong exposure to innovative and high-growth tech leaders.
iShares Core U.S. Aggregate Bond ETF
AGG
Bond ETF
U.S. Bonds
Among the most trusted bond ETFs, providing diversified U.S. investment-grade bond exposure for stability.
ARK Innovation ETF
ARKK
Active ETF
Disruptive Technology
0.75%
An actively managed disruptive innovation ETF targeting companies in AI, genomics, and other cutting-edge sectors.
Vanguard FTSE Developed Markets ETF
VEA
Developed Markets ex-U.S.
A cost-efficient pick for developed markets ETFs, covering Europe, Japan, and Australia.
Schwab U.S. Dividend Equity ETF
SCHD
U.S. Dividend Stocks
0.06%
A favorite among high dividend yield ETFs, combining strong fundamentals with consistent income potential.
iShares Global Clean Energy ETF
ICLN
Thematic ETF
Renewable Energy
0.41%
A leading renewable energy ETF investing in solar, wind, and other clean energy companies worldwide.
SPDR Gold Shares
GLD
Commodity ETF
Gold
0.40%
The most popular gold ETF for investors seeking a hedge against inflation and market volatility.
Global X Robotics & Artificial Intelligence ETF
BOTZ
Robotics & AI
0.68%
A high-potential AI ETF investing in companies leading the robotics and artificial intelligence revolution.
iShares MSCI ACWI ETF
ACWI
Global ETF
Global Equity
0.32%
A comprehensive global ETF offering exposure to both developed and emerging markets in one product.
First Trust NASDAQ Cybersecurity ETF
CIBR
Cybersecurity
0.59%
A specialized cybersecurity ETF benefiting from the growing need for digital security solutions worldwide.
iShares India 50 ETF
INDY
India Large-Cap
0.89%
One of the top India ETFs, focusing on the country’s 50 largest companies in a rapidly expanding economy.
Current Price (5th Sep, 2025): 649.12 USD
SPY is one of the most traded ETFs in the world, tracking the S&P 500 Index and offering exposure to 500 large-cap U.S. companies across all major sectors. Known for its high liquidity and tight spreads, it’s widely used for core U.S. equity exposure.
Key Details: Issuer – State Street Investment Management; Expense Ratio – 0.0945%; AUM – $647.6B; Inception – Jan 22, 1993.
Investor Appeal: Ideal for investors seeking broad market diversification and consistent performance in a single, cost-efficient ETF.
Current Price (5th Sep, 2025): 320.14 USD
VTI provides total U.S. market exposure, covering large-, mid-, small-, and micro-cap stocks. Tracking the CRSP US Total Market Index, it holds thousands of securities for maximum diversification.
Key Details: Issuer – Vanguard; Expense Ratio – 0.03%; AUM – $515.6B; Inception – May 24, 2001.
Investor Appeal: A low-cost choice for long-term growth investors seeking complete U.S. equity coverage in one ETF.
Current Price (5th Sep, 2025): 49.85 USD
EEM tracks the MSCI Emerging Markets Index, giving exposure to large- and mid-cap companies in countries like China, India, and Brazil.
Key Details: Issuer – BlackRock (iShares); Expense Ratio – 0.72%; AUM – $18.65B; Inception – Apr 7, 2003.
Investor Appeal: Suitable for adding emerging market exposure to diversify and capture potential high-growth economies.
Current Price (5th Sep, 2025): 211.78 USD VIG follows the S&P U.S. Dividend Growers Index, investing in companies with at least 10 years of consecutive dividend increases.
Key Details: Issuer – Vanguard; Expense Ratio – 0.05%; AUM – $93.85B; Inception – Apr 21, 2006. Investor Appeal: Best for dividend growth strategies, targeting high-quality U.S. large-cap stocks with consistent payouts.
Current Price (5th Sep, 2025): 575.23 USD
QQQ tracks the NASDAQ-100 Index, heavily weighted toward technology and growth stocks, including leaders in AI, cloud computing, and semiconductors.
Key Details: Issuer – Invesco; Expense Ratio – 0.20%; AUM – $362.58B; Inception – Mar 10, 1999.
Investor Appeal: A top choice for investors seeking growth and tech sector exposure.
Current Price (5th Sep, 2025): 99.63 USD
AGG offers broad U.S. bond market exposure by tracking the Bloomberg U.S. Aggregate Bond Index, covering Treasuries, corporates, and mortgage-backed securities.
Key Details: Issuer – BlackRock (iShares); Expense Ratio – 0.03%; AUM – $127.89B; Inception – Sep 22, 2003.
Investor Appeal: Suitable for portfolio stability and income generation through diversified fixed income.
Current Price (5th Sep, 2025): 75.02 USD
ARKK is an actively managed ETF investing in companies involved in disruptive innovation such as AI, fintech, genomics, and robotics.
Key Details: Issuer – ARK Invest; Expense Ratio – 0.75%; AUM – $8.07B; Inception – Oct 31, 2014.
Investor Appeal: High-risk, high-reward option for exposure to emerging technologies.
Current Price (5th Sep, 2025): 58.68 USD
VEA tracks the FTSE Developed ex US All Cap Index, covering Europe, Japan, and Australia, with nearly 1,000 holdings.
Key Details: Issuer – Vanguard; Expense Ratio – 0.03%; AUM – $164.37B; Inception – Jul 20, 2007.
Investor Appeal: Solid choice for global diversification outside U.S. markets.
Current Price (5th Sep, 2025): 27.69 USD
SCHD follows the Dow Jones U.S. Dividend 100 Index, investing in high-dividend U.S. equities with strong fundamentals.
Key Details: Issuer – Charles Schwab; Expense Ratio – 0.06%; AUM – $69.97B; Inception – Oct 20, 2011.
Investor Appeal: Attractive for income-focused investors seeking reliable payouts and value.
ICLN invests in companies involved in renewable energy sectors like solar, wind, and clean power infrastructure.
Key Details: Issuer – BlackRock (iShares); Expense Ratio – 0.41%; AUM – $1.46B; Inception – Jun 24, 2008.
Investor Appeal: Fits ESG investing strategies and long-term clean energy growth potential.
Current Price (5th Sep, 2025): 326.69 USD
GLD provides direct exposure to physical gold, tracking the LBMA Gold Price PM.
Key Details: Issuer – SPDR; Expense Ratio – 0.40%; AUM – $101.37B; Inception – Nov 18, 2004.
Investor Appeal: Popular for inflation hedging and portfolio diversification during volatility.
Current Price (5th Sep, 2025): 33.25 USD
BOTZ invests in companies benefiting from the automation, robotics, and AI market, tracking the Indxx Global Robotics & AI Index.
Key Details: Issuer – Global X; Expense Ratio – 0.68%; AUM – $2.85B; Inception – Sep 12, 2016.
Investor Appeal: A thematic choice for AI and robotics sector exposure.
Current Price (5th Sep, 2025): 133.95 USD
ACWI provides global equity exposure across developed and emerging markets by tracking the MSCI ACWI Index.
Key Details: Issuer – BlackRock (iShares); Expense Ratio – 0.32%; AUM – $22.15B; Inception – Mar 26, 2008.
Investor Appeal: Ideal for all-in-one global diversification.
Current Price (5th Sep, 2025): 72.35 USD
CIBR focuses on companies in the cybersecurity sector, tracking the Nasdaq CTA Cybersecurity Index.
Key Details: Issuer – First Trust; Expense Ratio – 0.59%; AUM – $9.96B; Inception – Jul 6, 2015.
Investor Appeal: Targets growing cybersecurity demand as digital threats rise.
Choosing the right ETF in 2025 isn’t just about chasing the one with the best chart. Start by checking the expense ratio; the lower it is, the less it eats into your returns over time.
Look at how the fund has performed in different market conditions, and make sure it’s run by a reliable manager with a clear strategy. Liquidity matters too, so you can buy or sell without moving the price too much.
Think about what the ETF invests in. A global diversification ETF can give you stability, while technology ETFs or renewable energy ETFs can add more growth potential, along with more ups and downs. If you want steady income, focus on high dividend yield ETFs with a solid history of payouts.
Most importantly, make sure the fund matches your goals, whether that’s long-term growth, income, or protection against inflation.
Not every ETF works for the same purpose. Matching your fund to your investing goal can improve results and help manage risk.
Long-Term Growth: Funds like Vanguard Total Stock Market ETF (VTI) and Invesco QQQ Trust (QQQ) give broad or tech-focused exposure, making them solid picks for growth-oriented portfolios. ARK Innovation ETF (ARKK) adds a high-risk, high-reward angle through disruptive technology.
Dividend Income: Schwab U.S. Dividend Equity ETF (SCHD) and Vanguard Dividend Appreciation ETF (VIG) focus on high dividend yield ETFs with strong fundamentals and consistent payouts.
Sector Exposure: Global X Robotics & Artificial Intelligence ETF (BOTZ) offers targeted AI ETF exposure, while First Trust NASDAQ Cybersecurity ETF (CIBR) captures growth in cybersecurity demand.
Risk-Averse Investors: iShares Core U.S. Aggregate Bond ETF (AGG) brings stability with investment-grade bonds, and SPDR Gold Shares (GLD) acts as a hedge against inflation and volatility.
Global Diversification: iShares MSCI ACWI ETF (ACWI) and Vanguard FTSE Developed Markets ETF (VEA) are global diversification ETFs covering developed and emerging markets in one trade.
A few smart habits can make ETF investing more effective:
Use dollar-cost averaging to smooth out market ups and downs.
Rebalance your ETF portfolio at least once a year to keep your risk level in check.
For retirement, mix low expense ratio ETFs for core holdings with a few thematic ETFs for growth potential.
Compare funds with an ETF screener to check expense ratios, historical returns, and sector or region exposure.
The best ETFs for 2025 make it easy to invest in a mix of markets and sectors without overcomplicating things. Whether you’re aiming for growth, steady income, or a safer balance, there’s an ETF that can fit your plan.
Stick with low-cost options, spread your investments across regions and industries, and check in regularly to make sure they still match your goals. Choose the ones that fit your risk level and let them work for you over time.
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The best ETF depends on your goals, risk tolerance, and market conditions. Many investors look for funds with low fees, strong performance history, and exposure to sectors they believe will grow.
The top performer changes over time. Check recent performance tables from reliable sources, as returns can shift quickly with market trends.
They can be for investors seeking regular income and diversification. Dividend ETFs spread risk across multiple dividend-paying stocks, but payouts aren’t guaranteed.
Many ETFs do. If the underlying assets pay dividends, the fund usually distributes them to shareholders on a set schedule.
This varies with market conditions. Sector-specific and leveraged ETFs often lead short-term gains but carry higher risk.
A gold ETF tracks the price of gold, often by holding physical gold or gold-related assets. It allows investors to gain exposure to gold without owning it directly.
Jennifer Pelegrin
SEO Content Writer
Jennifer is an SEO content writer with five years of experience creating clear, engaging articles across industries like finance and cybersecurity. Jennifer makes complex topics easy to understand, helping readers stay informed and confident.
Rania Gule
Market Analyst
A market analyst and member of the Research Team for the Arab region at XS.com, with diplomas in business management and market economics. Since 2006, she has specialized in technical, fundamental, and economic analysis of financial markets. Known for her economic reports and analyses, she covers financial assets, market news, and company evaluations. She has managed finance departments in brokerage firms, supervised master's theses, and developed professional analysis tools.
This written/visual material is comprised of personal opinions and ideas and may not reflect those of the Company. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. XS, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same. Our platform may not offer all the products or services mentioned.
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