BetaShares Australian Sustainability Leaders ETF (ASX: FAIR) $17.54

FAIR is an ESG-focused Australian equities ETF that excludes companies with meaningful exposure to fossil fuels and other activities considered inconsistent with responsible investing principles; it is certified by the Responsible Investment Association Australasia (RIAA). The fund also tilts toward businesses identified as sustainability leaders, particularly those aligned with the United Nations Sustainable Development Goals. The ETF holds 78 stocks at the moment, with the 5 top holdings as follows:

• Woolworths (ASX: WOW) 6%, Telstra (ASX: TLS) 5.4%, Goodman Group (ASX: GMG) 5%, Scentre Group (ASX: SCG) 4%, and Suncorp (ASX: SUN) 4%.

The trouble with this ETF in 2026 has been performance; it’s fallen by more than 11%, missing out on most of the gains from the Energy (+24%) and Materials Sectors (+15%). This $1bn ETF charges okay fees of 0.49%, but our concern from a purely performance perspective is its lack of exposure to energy and miners, both of which we believe will continue to outperform. The ETF does pay a dividend twice a year, and last year it yielded 4.2%, part franked, not enough to offset the overall performance.

• This ETF fails to hold sectors we are particularly bullish on, so is unlikely to feature in any of our portfolios.