4 Best ASX listed ETF to buy in 2026

The following ASX ETFs offer a simple way to invest across markets with reasonable fees and broad diversification which makes them a practical option for investors heading into 2026.

iShares Core S&P/ASX 200 ETF (ASX: IOZ)

iShares Core S&P/ASX 200 ETF gives exposure to the 200 largest companies listed on the ASX by tracking the S&P/ASX 200 Index.
The fund will reflect the index before fees and its wide market spread helps lower concentration risk while quarterly distributions offer consistency for income focused investors and the current annual yield is around 3.45%.
A key benefit is its low expense ratio of 0.05% which positions IOZ as one of the most cost-efficient ETFs available in Australia.
Top holdings include major names such as Commonwealth Bank of Australia, BHP Group, National Australia Bank, Wesfarmers, CSL, Telstra, Macquarie Group, Goodman Group, Westpac and ANZ which are all well established companies that add stability to the portfolio.

Vanguard Australian Fixed Interest Index ETF (ASX: VAF) 

provides exposure to a wide mix of high-quality Australian bonds by tracking the Bloomberg AusBond Composite 0+ Yr Index.
The ETF mainly holds high grade issuers which keeps overall risk relatively low compared to equities and makes it suitable for conservative portfolios or diversification.

The expense ratio is 0.1% per year and the ETF currently delivers an annual yield of about 3.07% which it distributes on a quarterly basis.
Top issuers include the Australian Government, NSW Treasury Corporation, Treasury Corporation of Victoria, Queensland Treasury Corporation, Western Australian Treasury Corporation and with more than 800 holdings, the ETF is well diversified with low concentration risk.

VanEck Australian Banks ETF (ASX: MVB)

gives exposure to Australia’s major banking institutions by tracking the MVIS Australia Banks Index.
The ETF distributes income three times in a year and the current annual yield is 4.73% while the expense ratio is 0.28% per year.

The portfolio holds only seven positions as of October which makes it concentrated but strategic with major names such as ANZ Group Holdings, Commonwealth Bank of Australia, Westpac Banking Corporation, National Australia Bank and Macquarie Group along with smaller allocations to Bendigo & Adelaide Bank and Bank of Queensland.

MVB is suitable for investors who are looking for reliable income and focused exposure to the Australian banking sector.

SPDR S&P/ASX 200 Resources ETF (ASX: OZR) 

provides exposure to Australia’s resource industry by tracking the S&P/ASX 200 Resources Index which includes companies linked to energy, mining and metals.
OZR generally performs well when global commodity demand is strong particularly across areas like iron ore, gold, uranium, copper, oil and gas.
The ETF has an expense ratio of 0.34% per year and currently offers an annual yield of around 3% with semi-annual distributions and has an impressive a one-year return of 19.38%.
Major holdings include BHP Group, Rio Tinto, Woodside Energy, Fortescue Metals, Northern Star Resources, Evolution Mining, Santos, South32 and Lynas Rare Earths.

(Source: Company Announcements)