Top 10 index funds to watch in 2026

An index fund holds a collection of securities designed to mirror a specific market benchmark rather than actively picking stocks. The ten funds here include six listed in the U.S. and four on the ASX, covering benchmarks like the S&P 500, the Nasdaq-100 and the Australian share market.

How we built this list: We selected these funds based on their industry or investment category and ordered them by assets under management. Prices are updated daily, and the list and supporting content are reviewed roughly every quarter. All data is sourced from Stake. This list isn't a recommendation and isn't ordered by suitability.

Past performance is not a reliable indicator of future performance.

Source: Stake market data. Data updated as of 14 August 2026.

✅ Learn more: Top 10 Vanguard ETFs in Australia to watch in 2026→

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1. Vanguard 500 Index Fund ETF ($VOO)

Vanguard 500 Index Fund ETF (VOO) share price over the last year: started at US$591.36, ended at US$713.61, a change of +20.7%. Range over the period: high US$714.95, low US$580.93. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$713.61 · Daily: -0.2% · AUM: US$997.35B · MER: 0.03%

The Vanguard 500 Index Fund ETF ($VOO) is designed to track the S&P 500 by holding each of the index's stocks at roughly the same weight they carry in the benchmark. There's no stock-picking involved – $VOO aims to replicate the index rather than outperform it. The portfolio moves with the broad U.S. large-cap market rather than making active calls on individual names.

Because the fund holds the index's constituents in proportion to their benchmark weights, its composition shifts only when the S&P 500 itself changes. That passive, rule-based structure keeps the fund's approach consistent and its decisions mechanical rather than discretionary.

2. iShares Core S&P 500 ETF ($IVV)

iShares Core S&P 500 ETF (IVV) share price over the last year: started at US$646.37, ended at US$780.04, a change of +20.7%. Range over the period: high US$781.47, low US$634.93. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$780.04 · Daily: -0.2% · AUM: US$905.52B · MER: 0.03%

The iShares Core S&P 500 ETF ($IVV) is designed to track the price and yield performance of the S&P 500 Index, a benchmark built from large-cap U.S. equities. The underlying index covered around 86% of the market capitalisation of all publicly traded U.S. equity securities.

As an index-tracking fund, $IVV holds the equities that make up the S&P 500, with its composition shifting as the index is updated. The large-cap mandate means the fund's exposure concentrates in the bigger publicly listed businesses in the U.S. market. The fund's mandate covers both the price performance and the yield of the index.

3. State Street SPDR S&P 500 ETF Trust ($SPY)

State Street SPDR S&P 500 ETF Trust (SPY) share price over the last year: started at US$643.30, ended at US$776.34, a change of +20.7%. Range over the period: high US$777.88, low US$631.97. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$776.34 · Daily: -0.2% · AUM: US$824.00B · MER: 0.09%

The State Street SPDR S&P 500 ETF Trust ($SPY) is built to mirror the S&P 500 Index, holding substantially all of the index's component common stocks weighted according to the trust's governing terms. That means the portfolio shifts as the index shifts, with no active stock-picking involved.

$SPY carries a management expense ratio (MER) of 0.09%. Its assets under management sit at $824.00B, making it one of the most heavily capitalised funds of its kind.

4. Vanguard Morningstar Total Stock Mkt Ix Fd ($VTI)

Vanguard Morningstar Total Stock Mkt Ix Fd (VTI) share price over the last year: started at US$316.59, ended at US$383.85, a change of +21.2%. Range over the period: high US$384.30, low US$311.68. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$383.85 · Daily: -0.1% · AUM: US$666.88B · MER: 0.03%

Vanguard Morningstar Total Stock Mkt Ix Fd ($VTI) is built around the CRSP US Total Market Index, which aims to cover the full breadth of the U.S. equity market rather than a fixed slice of it. That means the fund holds securities across large-, mid- and small-cap companies, approximating the index as closely as possible.

The fund's MER is 0.03%, and it holds $666.88B in assets under management. Those figures reflect a fund that has been running at scale for a long time, though past performance and fund size are no guarantee of future results.

5. Invesco QQQ Trust, Series 1 ($QQQ)

Invesco QQQ Trust, Series 1 (QQQ) share price over the last year: started at US$577.11, ended at US$731.07, a change of +26.7%. Range over the period: high US$746.16, low US$558.28. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$731.07 · Daily: -0.1% · AUM: US$496.10B · MER: 0.20%

Invesco QQQ Trust, Series 1 ($QQQ) is designed to track the Nasdaq-100 Index. That index covers 100 of the largest non-financial companies listed on the Nasdaq Stock Market, selected by market capitalisation. The universe includes both domestic and international names. Financial-sector companies are excluded from the index by design.

6. Vanguard Morningstar Growth Index Fund ($VUG)

Vanguard Morningstar Growth Index Fund (VUG) share price over the last year: started at US$77.02, ended at US$89.34, a change of +16.0%. Range over the period: high US$90.29, low US$70.00. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: US$89.34 · Daily: -0.4% · AUM: US$219.50B · MER: 0.04%

Vanguard Morningstar Growth Index Fund ($VUG) is built around one idea: large U.S. companies with growth characteristics. The fund aims to track the CRSP US Large Cap Growth Index, a diversified benchmark covering growth-oriented names at the bigger end of the U.S. market.

With a 0.04% management expense ratio (MER), the cost of holding $VUG is minimal. The fund's assets under management sit at $219.50B, reflecting its scale as one of the more established funds in this space.

7. Vanguard Australian Shares Index ETF ($VAS)

Vanguard Australian Shares Index ETF (VAS) share price over the last year: started at A$110.99, ended at A$112.92, a change of +1.7%. Range over the period: high A$114.74, low A$104.44. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: $112.92 · Daily: -0.9% · AUM: $26.19B · MER: 0.07%

Vanguard Australian Shares Index ETF ($VAS) aims to track the return of the S&P/ASX 300 Index before fees, expenses and tax. The fund is designed to hold or be exposed to most of the securities in that index, with individual weightings allowed to vary slightly from the benchmark. It may also hold securities recently removed from the index or expected to be added, allowing the portfolio to manage transitions as the index's composition shifts.

8. Vanguard MSCI Index International Shares ETF ($VGS)

Vanguard MSCI Index International Shares ETF (VGS) share price over the last year: started at A$147.99, ended at A$164.45, a change of +11.1%. Range over the period: high A$164.45, low A$139.46. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: $164.45 · Daily: 0.1% · AUM: $17.21B · MER: 0.18%

Vanguard MSCI Index International Shares ETF ($VGS) is designed to track the MSCI World ex-Australia Index, which covers large and mid-cap companies across developed markets outside Australia. The index reaches across multiple sectors, so the fund holds a broad spread of international equities without any allocation to the domestic market. $VGS aims to hold most of the securities in the index, though individual security weightings may vary from time to time.

9. BetaShares Australia 200 ETF ($A200)

BetaShares Australia 200 ETF (A200) share price over the last year: started at A$149.28, ended at A$151.94, a change of +1.8%. Range over the period: high A$154.52, low A$140.90. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: $151.94 · Daily: -1.0% · AUM: $10.97B · MER: 0.04%

Covering 200 of the largest ASX-listed companies, BetaShares Australia 200 ETF ($A200) is designed to track the Solactive Australia 200 Index. Both selection and weighting rely on free float-adjusted market capitalisation – a measure that counts only shares available to public investors, not a company's total share count. Companies with large restricted shareholdings carry less weight under this method than their overall size might suggest.

Because larger companies still dominate by this measure, the portfolio tilts toward the ASX's biggest names. The fund aims to deliver a return that mirrors the index before fees and expenses.

10. Betashares Nasdaq 100 ETF ($NDQ)

Betashares Nasdaq 100 ETF (NDQ) share price over the last year: started at A$53.67, ended at A$61.85, a change of +15.2%. Range over the period: high A$64.12, low A$49.71. Source: Stake market data. Past performance is not a reliable indicator of future performance.

Price: $61.85 · Daily: 0.8% · AUM: $9.18B · MER: 0.48%

Betashares Nasdaq 100 ETF ($NDQ) aims to track the Nasdaq-100 Index, which covers 100 of the largest non-financial companies listed on the Nasdaq Stock Market, selected by market capitalisation. The index draws from major industry groups including computer hardware and software, telecommunications, retail and wholesale trade, and biotechnology. One defining characteristic is what the index leaves out: financial companies, including investment companies, don't qualify for inclusion.

That exclusion means $NDQ tilts heavily toward technology and science-driven businesses rather than banks or asset managers. The fund is designed to mirror that index before accounting for fees and expenses, so the portfolio's shape follows the index rather than a manager's discretion.

➡️ Top 9 ethical ETFs in Australia to watch in 2026→

Common questions

How do I invest in index funds in Australia?

You can access index ETFs through a share trading platform that supports the relevant market. Four funds in this list – $VAS, $VGS, $A200 and $NDQ – trade on the ASX in Australian dollars. The other six are listed on U.S. exchanges and trade in US dollars, so you'll need a platform with US market access to buy them. In either case, you search the ticker and place an order during the relevant market's trading hours.

What are the key risks of investing in index funds?

Index funds are built to match a benchmark, so when the benchmark falls, the fund falls with it – there's no active decision-making to reduce exposure in a downturn. Funds tracking US or international markets carry currency risk for Australian investors: when the Australian dollar strengthens against the currencies of the underlying holdings, the AUD value of those positions can drop even if the index itself hasn't moved. Index composition also matters – the Nasdaq-100 has a heavy technology weighting, making its funds more sensitive to sector-specific swings than a broader market index would be.

How do the fees across these funds compare?

MERs in this list run from 0.03% to 0.48%. $VOO, $IVV and $VTI each charge 0.03%; $SPY covers the S&P 500 at the same broad scope but costs 0.09%. The sharpest contrast is between the two Nasdaq-100 funds: $QQQ charges 0.20% while the ASX-listed $NDQ charges 0.48%. Funds covering comparable index territory don't always charge the same fee, and the listing venue is one factor that can drive a difference.

More resources

✅ Top 10 U.S.-listed index funds to watch in 2026→

✅ Top 9 Nasdaq ETFs to watch in 2026→

Disclaimer

Past performance is not a reliable indicator of future performance. When you invest, your capital is at risk. You should consider your own investment objectives, financial situation, and particular needs before making an investment decision. The value of your investments can go down as well as up and you may receive back less than your original investment. As always, do your own research and consider seeking appropriate financial advice before investing.

This is not personal financial advice nor a recommendation to invest in the securities listed. Any advice provided by Stake is of general nature only and does not take into account your specific circumstances. Trading and volume data from the Stake investing platform is for reference purposes only, the investment choices of others may not be appropriate for your needs and is not a reliable indicator of performance.

Please refer to hellostake.com/pricing for the fees that apply. When you trade securities priced in another currency, currency conversion fees may apply and movements in the exchange rate may affect your returns.

Stake Desk

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This article combines AI and human review from our analysts to bring you accurate, informative investing content at speed. For questions or suggestions, contact stakedesk@stake.com.au.