Tech focus and gold investment opportunities with a potential 50% price reduction: These top-tier ETFs are globally acclaimed.
Are these the two best ETFs you can buy right now? Analysts and AI alike are buzzing about these two investments, predicting potential gains of up to 50%.
Investors still seeking the perfect diversified portfolio for 2025 may find solace in ETFs. These exchange-traded funds offer the opportunity to bet on entire sectors without tying up resources in individual stocks. Plus, with significantly lower fees compared to actively managed funds, ETFs represent an enticing choice. But which ETFs stand out in the current landscape, offering both stability and high potential returns? Two strong contenders have caught our attention.
The world's top ETFs - The inside scoop
Selecting the crème de la crème of ETFs can be a challenge, but we've got a trusty tool in our arsenal. Our financial portal, "TipRanks", employs a special screening system to single out only the ETFs demonstrating the greatest potential. The rules? An ETF must be majority buy-rated by analysts, carry an upside potential of 20% or more, and earn an "Outperform" rating from the Smart Score. This AI-powered analysis considers eight key factors: fundamental metrics, technical analysis, investor sentiment, and more. The result? Thousands of websites scrutinized to deliver a real-time sentiment analysis on a scale of 1-10.
The analysis delivered some intriguing results, but two ETFs truly shone - not just because of their sector affiliations, but also due to their robust growth potential and prime suitability for German investors.
Tech meets Gold - Discover these top-performers
Prepare to be impressed by the First Trust Dow Jones Internet UCITS ETF. This ETF tracks the Dow Jones Internet Composite Index, venturing primarily into US companies generating at least half of their revenue in the digital realm. Boasting an impressive 12-month growth of over 40%, this ETF was introduced in June 2018 and comes with an annual expense ratio of 0.55%. Accumulating is standard for this powerhouse.
The ETF's big guns include industry leaders like Amazon, Meta, Netflix, Salesforce, and Alphabet. A Smart Score of 8 guarantees this ETF's status as an outperformer. The analysts concur with enthusiasm - the average price target is $35, pointing to an additional 20% potential. The highest price target of $40 suggests upward price movements of around 50%.
The second noteworthy ETF is the VanEck Gold Miners UCITS ETF, which charts the performance of the NYSE Arca Gold Miners Index. By investing in companies in the global gold and silver mining industry, this ETF ensures varied exposure to precious metals. The VanEck Gold Miners UCITS ETF, founded in March 2015, has gained more than 40% in value over the past 12 months, and boasts an annual expense ratio of 0.53% and accumulating style.
Major players in this ETF include Newmont, Agnico, and Barrick Gold. The Smart Score of 8 makes it clear that this ETF is a powerhouse. Analysts anticipate an average price target of $45, hinting at a potential gain of over 20%. The highest price target of $53 allows for a possible 50% increase in value.
The combination of technology and commodities represents a thoughtful approach, offering a delicate balance between dynamic growth and inflation-resistant stability.
The First Trust Dow Jones Internet UCITS ETF capitalizes on structural trends like Artificial Intelligence, Cloud Computing, and digital transformation. These sectors exhibit above-average growth and may become even more significant in the years to come. Large tech firms with robust cash flow and market dominance assure their resilience, even in shaky market conditions.
Alternatively, the VanEck Gold Miners UCITS ETF offers a well-proven crisis strategy. Gold and gold mining stocks often correlate negatively with the broader equity market, acting as a "safe haven" during uncertain economic times. Investors benefit from both increased stability and additional growth potential as mining stocks see cost margins escalate in response to rising gold prices.
Further Reading:Better than any dividend ETF: How to invest in the true dividend kingsOr: Simplifying wealth: Collect high yields every year with this global ETF
Investors looking for a diversified portfolio for 2025 might want to consider the First Trust Dow Jones Internet UCITS ETF or the VanEck Gold Miners UCITS ETF, both of which have been identified as strong contenders by TipRanks' special screening system. The First Trust Dow Jones Internet UCITS ETF, focusing on technology, is predicted to yield potential gains of up to 50%, while the VanEck Gold Miners UCITS ETF, representing the gold and silver mining industry, offers the potential for a 50% increase in value as well, providing a balance between dynamic growth and inflation-resistant stability.
