The best and worst-performing ETFs of 2025

ETFs have really taken off with Aussies in the past 10 years. Back in 2014, only about 1% of investors owned ETFs. Fast forward to 2020, and that number had jumped to 15%. By 2023, according to the ASX's latest Australian Investor Study, it had reached 20% - and it's probably even higher now. 

It's easy to see why ETFs are so popular. They make building a diversified portfolio easier and more affordable than ever. But with 388 ETFs listed on the ASX, the tricky part is choosing the right one for you. 

That's where InvestSMART's second annual ETF Scorecard comes in - we've done the heavy lifting for you. Not only have we ranked ETFs by their 12-month performance to 30 June 2025, we've also given each ETF an InvestSMART star rating out of five. These ratings are a fast and easy way to compare options and focus on long-term quality, rather than getting swept up in short-term returns. 

Here's a look at the best and worst performers of 2025.

10 best-performing ETFs

Based on one-year returns to 30 June, 2025. *Currency Hedged.

The 10 top-performing ETFs speak volumes about three key trends that have shaped investment markets over the past 12 months - the extraordinary rise of digital currencies, the boom in gaming and esports and the flight to gold, which has been driven by volatile markets and an uncertain geopolitical environment. 

The DigitalX Bitcoin ETF (ASX: BTXX) couldn't help but delight investors over the past year, with a return of 95.5% that would have seen investors nearly double their money in just 12 months. However, the fund does face some challenges. Having launched in July 2024, it is only just ticking past its first anniversary and, like all new funds, has yet to prove itself over the long term. More critically, BTXX is a passive holder of Bitcoin. This leaves the fund highly exposed to downturns in a single cryptocurrency and history tells us just how volatile Bitcoin can be. 

With a return of 90.3%, the Betashares Video Games and Esports ETF (ASX: GAME) is a close second. It builds on Betashares' stable of thematic ETFs, and while themed funds have the downside of concentrating risk, GAME capitalises on a market where continued growth is no fantasy. The global online gaming market is currently valued at around $US225 billion and is forecast to grow to $US424 billion by 2032. GAME gives investors exposure to some of the industry's biggest names including Roblox Corp and Nintendo, and also offers geographic diversity with holdings chiefly spread across the US, Japan and China.

10 worst-performing ETFs

Based on one-year returns to 30 June, 2025. *Currency Hedged.

Given that Aussie shares notched up gains of 13.8% and global shares rose 19% in the 12 months to the end of June 2025, it can be hard for investors to fathom how an equity-based ETF could deliver double-digit losses. This highlights the need to take a good look under the hood of any ETF. 

The winner of this year's wooden spoon is the Betashares US Equities Strong Bear Complex ETF (ASX: BBUS) which fell by 31.4%. It's not a typical US share fund - the clue lies in the word 'bear'. BBUS is designed to let investors profit from a decline in the US share market, something that has only happened in four of the past 20 years. 

The same principle applies to the Global X Ultra Short Nasdaq 100 Complex ETF (ASX: SNAS) and Betashares Australian Equities Strong Bear Complex ETF (ASX: BBOZ), which round out the three worst-performing ETFs with losses of 27.4% and 20.6% respectively. 

The sting in the tail is that each of these ETFs uses complex financial instruments to meet its goals. This results in high fees, further compounding investor losses. This is part of the reason these three ETFs only get a 2-star InvestSMART rating. 

Like all themed ETFs, the Betashares Global Healthcare ETF (ASX: DRUG), which is the fourth worst performer, runs the risk of a decline in the underlying market. That's exactly what has happened, with the global pharmaceuticals industry currently facing several headwinds, including the US administration's intention to lower drug prices.

This article is part of the InvestSMART ETF Scorecard 2025. Download the full report to discover: 

• The best and worst performers in the following categories: Australian shares, global shares, Australian fixed income, Australian high yield, commodities and Australian ethical 
• The most and least popular ETFs on the ASX 
• Which ETFs get an InvestSMART five-star rating