How ETFs Can Power Your 2026 Investing Goals

Introduction

As we step into 2026, many of us are setting financial resolutions – save more, invest smarter, and build wealth for the long-term. One tool that’s reshaping how people invest? The Exchange-Traded Funds (ETFs).

Think of ETFs as a ready-made basket of investments – stocks, bonds, or even themes like tech or sustainability, all in one trade. They’re popular because they typically have lower fees than traditional mutual funds. For instance, local mutual funds have an average management fee of around 1.39%*. Meanwhile, at KDI Invest, we use ETFs to provide globally diversified portfolios through our AI powered robo-advisory platform, at a fixed management fee of 0.70% p.a. Besides that, ETFs also offer diversification, spreading risk across multiple holdings.

But here’s the truth: ETFs aren’t a magic bullet. If you want to build your wealth, you need a strategy.

The ETF Game Plan

• Start with a strong core: A broad market ETF for stability.
• Add satellites: Small positions in themes or factors you believe in (e.g., tech, sustainability, value).
  
• Automate contributions: Use Dollar-Cost Averaging (DCA) strategy to invest regularly and smooth out market ups and downs.
  
• Keep costs low: Fees eat into returns, compare expense ratios between brokers.
• Review, don’t overreact: Check your portfolio quarterly, rebalance annually.

Start investing regularly today!

When ETFs or DCA Might Not Work?

• If the underlying investment has weak fundamentals.
  
• If you need money soon and markets are falling.
  
• If you’re chasing trendy ETFs without research.
  
• If your portfolio becomes too complex to manage.

The Big Picture

ETFs are powerful tools for building wealth – but success comes from discipline, patience, and clarity, not hype. Combine them with realistic goals and consistent investing habits, and you’ll be well on your way to a stronger financial future.

At KDI Invest, you can start investing in global ETFs from just RM250 and add to it monthly. KDI Invest is powered by robo-advisory technology, which helps you to manage your investment effortlessly, and you don’t need to keep watching the stock market!

Note: In 2025, KDI Invest delivered returns of up to 14.8%**!

Top Up Your KDI Save Returns: Get Up To 6.5% p.a.*** with the New KDI Invest Deposit Programme

Programme Period: 18 January 2026 – 31 December 2026!

Click HERE to learn more.

Access KDI Invest via KDi GO: https://kdigo.com/#download