Top ETFs to watch in 2026

What is an ETF?

An exchange traded fund (ETF) is an investment product that tracks the performance of a group of assets, such as stocks, bonds, commodities, or a mix of these. It trades on an exchange like a stock, meaning you can buy and sell shares in the ETF throughout the trading day.

For traders, ETFs can be a way to access multiple markets quickly, diversify exposure, and take positions on entire sectors or themes without selecting individual assets.

Different types of ETFs

Equity ETFs 

Track a group of company stocks, often following an index such as the S&P 500 or Straits Times Index (STI). Useful for gaining exposure to broad markets or specific sectors.

Commodity ETFs 

Get access to commodities like gold, oil, or agricultural products. These can help traders take positions on commodity price movements without needing futures contracts.

Bond ETFs 

Hold baskets of government or corporate bonds. Traders might use them to position for changes in interest rates or economic conditions.

Sector ETFs 

Focus on industries like technology, healthcare, or energy. Popular with traders who want targeted exposure to sectors expected to outperform.

Thematic ETFs 

Invest in companies tied to specific trends, such as clean energy, artificial intelligence, or electric vehicles. These often appeal to traders seeking growth potential in emerging areas.

Why trade ETFs in 2026?

ETFs remain popular with Singapore traders due to their flexibility, variety, and ability to provide broad or focused market exposure.

In 2025, global economic shifts, sector rotations, and technological developments could create trading opportunities in specific ETF categories:

• Sector leadership changes as industries like AI, renewable energy, and defence attract capital.
• Commodity price volatility driven by supply chain adjustments and geopolitical events.
• Interest rate expectations influencing bond ETF performance.

By using ETF CFDs with IG Singapore, traders can go long if they expect prices to rise or short if they expect them to fall.

Risks of trading ETFs

While ETFs offer diversification, they also carry risks:

• Market risk – the value of the ETF will move with its underlying assets.
• Tracking error – some ETFs may not perfectly follow the index or asset they aim to replicate.
• Liquidity risk – less popular ETFs can have wider bid-ask spreads.
• Leverage risk – leveraged ETFs amplify gains and losses, making them more volatile.

Understanding these risks can help you choose ETFs that align with your strategy and risk tolerance.

Top 3 ETFs for traders to watch

1. SPDR Gold Shares (GLD)

About the ETF: SPDR Gold Shares (GLD) remains one of the most actively traded ETFs globally and could be a potential trade for Singaporeans seeking exposure to gold’s price movements. As of 8 October 2025, GLD has closed above US$360, marking a year-to-date (YTD) return of over 50%.¹ GLD’s surge came amid rising inflation concerns and central bank accumulation of gold reserves.

Key information:

• Technical volatility: GLD’s intraday price swings could present opportunities for scalping and momentum strategies. Traders often rely on Bollinger Bands and relative strength index (RSI) to identify overbought/ oversold zones.

• Liquidity: With over 15 million shares traded daily, GLD offers potentially tight spreads and minimal slippage, crucial for short-term execution.²

• Trend signals: Moving Average Convergence/Divergence (MACD) indicators have shown consistent bullish divergence since August, while RSI hovered near 70 in late September, signalling strong upward momentum.³

• Support/ resistance zones: US$340 previously acted as a strong support level, while US$360 was a key resistance zone. Breakouts above these levels often trigger high-volume trades.

• Macro sensitivity: GLD has historically been inversely correlated with US dollar (USD) strength and interest rate hikes. Traders should monitor Fed announcements and CPI data closely.

GLD is listed on Singapore Exchange (SGX) and NYSE Arca, making it accessible to Singaporean traders via local brokers and trading platforms such as IG Markets Singapore. It’s also classified as a prescribed capital markets product under MAS guidelines, ensuring regulatory clarity.

2. Lion-OCBC Securities Hang Seng TECH ETF (SGX:HST)

About the ETF: The Lion-OCBC Securities Hang Seng TECH ETF (HST) is a high-beta ETF that tracks the Hang Seng TECH Index, offering exposure to leading Chinese tech firms. In early October 2025, its NAV stood at S$1.08, representing a YTD return of over 40%.⁴ HST could be a potential play for traders looking to capitalise on China’s tech rebound and AI-driven growth.

Key information:

• Sector momentum: The ETF includes top holdings like Alibaba (9.37%), Tencent (7.9%), and JD.com (5.41%), all of which have benefited from Beijing’s renewed support for tech innovation.⁵

• Volatility profile: With a 52-week range from S$0.70 to S$1.08, HST potentially offers room for swing trades and breakout setups.

• Volume and liquidity: Averaging 3.5 million units traded daily, the ETF provides  adequate liquidity for short-term traders.⁶

• Technical patterns: There appears to be frequent instances of bullish flags and descending triangles on HST’s chart, which could lend themselves to pattern-based strategies.

• Event sensitivity: Earnings releases and regulatory updates from China can cause sharp price movements — ideal for news-based trading.

HST is listed on SGX and denominated in Singapore dollar (SGD), making it easy for Singaporeans to trade without foreign currency exposure. It’s also eligible under the CPF Investment Scheme (CPFIS), adding further flexibility and convenience.

3. Lion-Nomura Japan Active ETF (SGX:JJJ)

About the ETF: The Lion-Nomura Japan Active ETF (JJJ) is Singapore’s first AI-powered (read: not centric) ETF, offering exposure to Japanese equities (such as Hitachi and Aeon).⁷ As of 1 October 2025, its NAV reached S$1.24, with a YTD return of +23.12% and a 1-year return of +25.10%.⁸ This ETF could be a viable play for traders seeking algorithm-driven rebalancing and sector rotation.

Key information:

• AI-powered rebalancing: The ETF’s constituents are updated monthly using predictive models that analyse macro trends, earnings momentum, and valuation metrics.⁹

• Breakout potential: JJJ recently broke above S$1.24, with Bollinger Bands tightening — often a precursor to volatility expansion.¹⁰

• Volume profile: With an estimated 19,000 shares traded daily, JJJ appears to offer sufficient liquidity for tactical entries and exits.¹¹

• Relative strength: Traders can compare JJJ’s performance against the Nikkei 225 to identify divergence opportunities.

• Cross-market arbitrage: JJJ’s dual exposure to SGX and Tokyo trading hours allows for arbitrage strategies based on overnight news. 

JJJ is denominated in SGD and USD, giving traders flexibility in currency exposure. It’s also MAS-recognised, making it accessible to both retail and institutional participants.

Top 3 ETFs for investors to watch

1. iShares Core S&P 500 UCITS ETF (CSPX)
 

About the ETF: The iShares Core S&P 500 UCITS ETF (CSPX) is popular among global investors seeking diversified exposure to the US economy. As of 3 October 2025, CSPX traded at US$717.81, reflecting a YTD return of over 15.08%.¹² It tracks the S&P 500 Index, which includes 500 of the largest US companies across sectors like technology, healthcare, and consumer goods.

Other key information:

• Diversification: CSPX offers broad exposure to market leaders such as Microsoft, Apple, and NVIDIA, with the top 10 holdings accounting for approximately 39% of the fund.¹³

• Tax efficiency: Domiciled in Ireland, CSPX benefits from reduced US dividend withholding tax for Singaporean investors.

• Low expense ratio: At just 0.07%, CSPX is one of the lowest-cost ETFs available.¹⁴

• Performance history: Over the past 10 years, CSPX has delivered an average annual return of around 15%.¹⁵

• Rebalancing: The ETF is updated quarterly to reflect changes in the S&P 500, ensuring alignment with market trends.¹⁶

CSPX is listed on the London Stock Exchange and can be accessed via Singapore brokers and trading platforms like IG Markets Singapore. 

2. Amova-StraitsTrading Asia ex Japan REIT ETF (SGX:CFA)

About the ETF: The Amova-StraitsTrading Asia ex Japan REIT ETF (SGX:CFA) is Singapore’s flagship regional REIT ETF, offering income-focused investors exposure to high-quality real estate assets across Asia (excluding Japan). As of 2 October 2025, its NAV stood at S$0.83, with a trailing twelve-month dividend yield of 5.41%.¹⁷

Key information:

• Income generation: CFA pays quarterly dividends sourced from retail, industrial, and commercial REITs.18

• Regional spread: The ETF allocates ~60% to Singapore REITs, ~18% to Hong Kong, and the rest to Malaysia and Thailand.19

• Top holdings: Includes CapitaLand Integrated Commercial Trust (10%), CapitaLand Ascendas REIT (9.8%), and Link REIT (9.3%).20

• Low expense ratio: At 0.60%, CFA remains competitive among regional REIT ETFs.

• Capital growth: CFA benefits from rising property values and rental escalations, especially in logistics and data center segments.

CFA is listed on SGX and denominated in SGD, making it ideal for Singaporeans seeking local currency exposure. It’s also CPFIS-approved, allowing investors to use CPF savings for long-term REIT investing.

3. SPDR Straits Times Index ETF (SGX:ES3)

About the ETF: The SPDR Straits Times Index ETF (SGX:ES3) is the most direct way to invest in Singapore’s economy. ES3 traded at S$4.47 in early October 2025, with a YTD return of over 17% and a three-year annualised return of over 16%.²¹ It tracks the Straits Times Index (STI), which includes 30 of the largest and most liquid companies listed on the SGX.

Key information:

• Local exposure: ES3’s top holdings include DBS (26.36%), OCBC (13.12%), and UOB (10.47%).²²

• Dividend yield: Currently at 4.16%, ES3 provides regular income from blue-chip companies. Distributions occur semi-annually.²³

• Wide market coverage: Covers roughly 70% of SGX’s total market capitalisation, making it a comprehensive proxy for Singapore’s economic performance.²⁴

• Adequate liquidity: With nearly one million shares traded daily, ES3 could be considered as adequately liquid and suitable for both retail and institutional investors.²⁵

• Regular reviews: STI constituents are reviewed semi-annually, ensuring the ETF reflects Singapore’s evolving corporate landscape.

ES3 is MAS-recognised and CPFIS-approved, making it a potential choice for long-term investors building Singapore-centric portfolios. It may also be considered by those seeking dividend income with low volatility.

How to trade ETFs with IG Singapore

CFD trading
 

1. Create a live or demo account
2. Find an opportunity among one of our 10,000+ stocks with our  stock screener
3. Click ‘buy’ to go long or ‘sell’ to short
4. Set your position size
5. Take steps to manage your risk
6. Open and monitor your position

FAQs about trading ETFs

Footnotes: 
 

1 Yahoo! Finance, “GLD”, 2025  
2 Yahoo! Finance, “GLD”, 2025
3 Investing.com, “GLD”, 2025
4 Yahoo! Finance, “HST”, 2025
5 Lion Global Investors HST Fund Page
6 Yahoo! Finance, “HST”, 2025
7 Lion Global Investors JJJ Fund Page
8 Yahoo! Finance, “JJJ”, 2025
9 Lion Global Investors JJJ Fund Page
10 Yahoo! Finance, “JJJ”, 2025
11 Yahoo! Finance, “JJJ”, 2025
12 Yahoo! Finance, “CSPX”, 2025
13 iShares CSPX Holdings
14 iShares CSPX Fund Overview
15 iShares CSPX Fund Overview
16 iShares CSPX Fund Overview
17 Investing.com, “AMON”, 2025
18 Amova-StraitsTrading Asia ex Japan Fund Factsheet
19 Amova-StraitsTrading Asia ex Japan Fund Factsheet
20 Amova-StraitsTrading Asia ex Japan Fund Factsheet
21 SSGA ES3 Holdings
22 SSGA ES3 Holdings
23 Growbeansprout “ES3” Dividend Tracker
24 SSGA ES3 Holdings
25 Yahoo Finance ES3 ETF