Top 10 most-purchased ETFs in August 2025
Investors are looking for both core and satellite ETF options. Kyle Caldwell runs through the top 10 most-bought ETFs in August among interactive investor customers.
2nd September 2025 09:07
by Kyle Caldwell from interactive investor
A key trend among our most-bought exchange-traded funds (ETFs) so far in 2025 has been investors mixing and matching core and satellite funds.
This continued in August, with six funds fitting into the core bucket and four considered to be satellite holdings.
- Our Services: SIPP Account | Stocks & Shares ISA | See all Investment Accounts
Core holdings are those that you can, in theory, invest in for the long term as they shouldn’t give you any nasty surprises. They are typically low cost and highly diversified, such as the two Vanguard S&P 500 tracker funds occupying first and third place in our top 10 ETF table. The rankings are for real-time trades, which excludes regular investing.
The accumulation version Vanguard S&P 500 ETF (VUAG) took the top spot, while the dividend distribution version, Vanguard S&P 500 ETF (VUSA), was third.
Seeking out broad global stock market exposure can give investors a solid base to build a portfolio around. Owning the global market through an ETF, such as the Vanguard FTSE All-World ETF or iShares Core MSCI World ETF, should theoretically give investors a smoother ride compared to investing in just one region.
The Vanguard global trackers are “all world” funds, which means they own emerging market shares as well as developed world shares, and they therefore have less invested in the US. The distribution version (VWRL) is in fourth place, while the accumulation version (VWRP) is in sixth.
The iShares Core MSCI World ETF (LSE: SWDA), ranked seventh, owns around 1,400 global developed market shares.
- The little-known ‘specialist’ funds that can boost your portfolio
- Sign up to our free newsletter for investment ideas, latest news and award-winning analysis
Having broad UK exposure can also fit into the core part of portfolio. Entering the top 10 in August is iShares Core FTSE 100 ETF (LSE:CUKX), which, as the name suggests, provides exposure to the 100 largest UK-listed companies. This ETF will therefore have benefited from the FTSE 100’s strong rally in recent months, with the index surpassing 9,000 points for the first time in July.
Satellite funds are often higher risk and can offer potentially higher rewards. Such funds can add spice to a portfolio alongside core holdings, but as is the case when adding ingredients while cooking, you need to strike right the balance. When picking funds, you need to weigh up risk versus reward, and ensure that you don’t have too much of your portfolio in adventurous areas that could all fall sharply at the same time when stock markets decline.
Three adventurous ETFs in the top 10 table in August are: Invesco EQQQ Nasdaq 100 ETF (LSE:EQQQ), VanEck Crypto and Blockchain Innovators ETF (LSE:DAGB) and VanEck Defense ETF (LSE:DFNG).
We recently took a deep dive into why defence companies are on a tear and how to gain broad exposure. As explained in our recent feature, the VanEck Defense ETF was the first fund to be launched that invested in defence themes. It has holdings in both traditional aerospace and defence companies, and in areas such as cybersecurity and biometrics. Another ETF option for this sector, which has previously appeared in our top 10 rankings, is the HANetf Future of Defence ETF Acc (LSE:NATO).
As explained in our recent guide to investing in themes, history is littered with examples of strong gains over a short period for certain parts of the market. This is often accompanied by investors piling in to participate in a theme and its performance, which results in valuations becoming more elevated.
Bear in mind, however, that if the theme is running hot, valuations could become overheated and unsustainable relative to fundamentals, such as company earnings.
The other satellite ETF in the top 10, iShares Physical Gold ETC GBP (LSE:SGLN), arguably offers investors blander exposure, as gold is a defensive asset that tends to be uncorrelated with how stock markets perform.
Gold is seen as a safe-haven asset but also as a hedge against inflation, as the supply of the metal is relatively fixed, but governments are issuing more debt and increasing the money supply.
iShares Physical Silver ETC GBP (LSE:SSLN) dropped off the list in August.
Top 10 most-popular ETFs in August 2025
| Ranking | Exchange-traded fund (ETF) | Change from July | One-year return to 28 August 2025 (%) | Three-year return to 28 August 2025 (%) |
| 1 | Vanguard S&P 500 ETF (accumulation) | Up one | 14.9 | 45 |
| 2 | iShares Physical Gold ETC | Up one | 32.1 | 68.3 |
| 3 | Vanguard S&P 500 ETF (distributing) | Down two | 14.9 | 45 |
| 4 | Vanguard FTSE All-World ETF (distributing) | Up one | 14.8 | 39.5 |
| 5 | Invesco EQQQ Nasdaq 100 ETF | Up one | 20.2 | 66.1 |
| 6 | Vanguard FTSE All-World ETF (accumulation) | Up three | 14.8 | 39.5 |
| 7 | iShares Core MSCI World ETF | Unchanged | 14.7 | 42.6 |
| 8 | VanEck Crypto and Blockchain Innovators ETF | Down four | 64 | 157.1 |
| 9 | VanEck Defense ETF | Unchanged | 68.6 | N/A (insufficient track record) |
| 10 | iShares Core FTSE 100 ETF | New entry | 14.4 | 38.2 |
Source: FE Analytics. Performance data to 28 August 2025. Note: the top 10 is based on the number of “buys” during the month of August. Past performance is not a guide to future performance.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.