Investors Turn to ASX ETFs Amid US Economic Uncertainty

With ongoing market volatility and concerns about the U.S. economy, investors are increasingly turning to exchange-traded funds (ETFs) for diversification, simplicity, and defensive positioning. ETFs offer exposure to a broad range of stocks, allowing investors to bypass individual stock picking while building diversified portfolios. In the Australian market, ETFs focusing on quality domestic companies, such as those tracking the S&P/ASX 300 or using strict quality criteria, are highlighted for their potential to provide stable dividends and long-term growth. Internationally, products targeting high-quality global companies or innovative sectors like Asian technology are also recommended, though investors should be mindful of volatility and currency risks. Defensive sector ETFs, such as those focused on health care, are suggested as preparations for potential economic downturns. Overall, the consensus is that ETFs—especially those with low costs and a focus on quality or diversification—can be valuable core holdings for both cautious and growth-oriented investors.