Stock exchange-traded funds, or equity ETFs, are often low-cost instruments for investors to track popular indexes or leverage experienced manager choices to beat the market. The best ones serve as low-cost building blocks in a portfolio, and unlike open-end mutual funds, all ETFs are traded throughout the day on an exchange.

In 2025, the worst-performing stock ETFs included equity technology fund Global X Cybersecurity UCITS ETF BUG and equity agriculture fund Rize Sustainable Future of Food UCITS ETF FOOD. Data in this article is sourced from Morningstar Direct.

Screening for the Worst-Performing ETFs

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

To find the year’s worst-performing stock ETFs, we screened those in Morningstar’s equity, allocation, or fixed-income categories that are available in Norway. We excluded ETFs with less than USD 25 million (€nan) in total assets. We also excluded funds that fall into Morningstar’s “trading” categories, as these funds are designed for active traders and are not suitable for long-term investors.

The 10 Worst-Performing ETFs for 2025

1. Global X Cybersecurity UCITS ETF BUG
2. Rize Sustainable Future of Food UCITS ETF FOOD
3. iShares Global Timber & Forestry UCITS ETF WOOD
4. Xtrackers MSCI Indonesia Swap UCITS ETF KJ7
5. Invesco KBW NASDAQ Fintech UCITS ETF FTEK
6. Xtrackers LPX Private Equity Swap UCITS ETF DX2D
7. USBBG Japan Gov 1-3 UCITS ETF JT13
8. Xtrackers MSCI Europe Information Technology Screened UCITS ETF XS8R
9. iShares € Govt Bond 20yr Target Duration UCITS ETF E20Y
10. iShares US Property Yield UCITS ETF IDUP

Metrics for the Worst-Performing Stock ETFs

Global X Cybersecurity UCITS ETF

• Morningstar Rating: ★★
• Expense Ratio: 0.5%
• Morningstar Category: Equity Technology

The worst-performing ETF in 2025 was the €36.2 million Global X Cybersecurity UCITS ETF. The passively managed Global X ETF declined 16.42%, underperforming the average equity technology fund, which gained 10.99%. Over the last three years, the fund has climbed 10.12%, underperforming the 24.14% gain on funds in its category, placing it in the 86th percentile for the period.

The Bronze-rated Global X Cybersecurity UCITS ETF was launched in November 2021.

Rize Sustainable Future of Food UCITS ETF

• Morningstar Rating: ★
• Expense Ratio: 0.45%
• Morningstar Category: Equity Agriculture

The €71.5 million Rize Sustainable Future of Food UCITS ETF ranked second for the year, falling 14.85%. The ARK ETF, which is passively managed, fell further than the 4.36% loss on the average equity agriculture fund. Over the past three years, the fund has lost 6.99%, falling further than the 0.66% loss on funds in its category, placing it in the 90th percentile for the period.

The Bronze-rated Rize Sustainable Future of Food UCITS ETF was launched in August 2020.

iShares Global Timber & Forestry UCITS ETF

• Morningstar Rating: ★★
• Expense Ratio: 0.65%
• Morningstar Category: Equity Natural Resources

The €80.4 million iShares Global Timber & Forestry UCITS ETF was the third worst-performing ETF in 2025, with a 14.62% loss. The passively managed iShares ETF lagged the 43.73% gain on the average fund in Morningstar’s equity natural resources category for the year. Over the last three years, the fund has dropped 1.69%, underperforming the 10.24% gain on funds in its category, placing it in the 97th percentile for the period.

The Neutral-rated iShares Global Timber & Forestry UCITS ETF was launched in October 2007.

Xtrackers MSCI Indonesia Swap UCITS ETF

• Morningstar Rating: ★★★
• Expense Ratio: 0.65%
• Morningstar Category: Indonesia Equity

The fourth worst-performing ETF in 2025 was the €41.1 million Xtrackers MSCI Indonesia Swap UCITS ETF. The passively managed Xtrackers ETF declined 14.59%, falling further than the average Indonesia equity fund, which dropped 6.34%. Over the last three years, the fund has fallen 6.72%, falling further than the 4.31% loss on funds in its category, placing it in the 77th percentile for the period.

The Bronze-rated Xtrackers MSCI Indonesia Swap UCITS ETF was launched in March 2010.

Invesco KBW NASDAQ Fintech UCITS ETF

• Morningstar Rating: ★★★
• Expense Ratio: 0.49%
• Morningstar Category: Equity Technology

The €51.1 million Invesco KBW NASDAQ Fintech UCITS ETF was the fifth worst-performing ETF in 2025, with a 12.28% loss. The passively managed Invesco ETF lagged the 10.99% gain on the average fund in Morningstar’s equity technology category for the year. Over the last three years, the fund has gained 17.12%, underperforming the 24.14% gain on funds in its category, placing it in the 72nd percentile for the period.

The Bronze-rated Invesco KBW NASDAQ Fintech UCITS ETF was launched in March 2017.

Xtrackers LPX Private Equity Swap UCITS ETF

• Morningstar Rating: ★★★
• Expense Ratio: 0.7%
• Morningstar Category: Equity Listed Private Equity

The €366.3 million Xtrackers LPX Private Equity Swap UCITS ETF ranked sixth for the year, falling 11.86%. The Xtrackers ETF, which is passively managed, fell further than the 7.37% loss on the average equity listed private equity fund. Over the past three years, the fund has risen 17.97%, outperforming the 16.94% gain on funds in its category, placing it in the 37th percentile for the period.

The Bronze-rated Xtrackers LPX Private Equity Swap UCITS ETF was launched in January 2008.

USBBG Japan Gov 1-3 UCITS ETF

• Morningstar Rating: ★★★★
• Expense Ratio: 0.2%
• Morningstar Category: JPY Bond

The €626.5 million USBBG Japan Gov 1-3 UCITS ETF was the seventh worst-performing ETF in 2025, with a 11.77% loss. The passively managed UBS ETF edged out the 16.29% loss on the average fund in Morningstar’s JPY bond category for the year. Over the last three years, the fund has dropped 8.84%, falling less than the 10.32% loss on funds in its category, placing it in the 13th percentile for the period.

The Neutral-rated USBBG Japan Gov 1-3 UCITS ETF was launched in April 2020.

Xtrackers MSCI Europe Information Technology Screened UCITS ETF

• Morningstar Rating: ★
• Expense Ratio: 0.17%
• Morningstar Category: Equity Technology

The eighth worst-performing ETF in 2025 was the €35.6 million Xtrackers MSCI Europe Information Technology Screened UCITS ETF. The passively managed Xtrackers ETF declined 11.74%, underperforming the average equity technology fund, which gained 10.99%. Over the last three years, the fund has climbed 6.87%, underperforming the 24.14% gain on funds in its category, placing it in the 93rd percentile for the period.

The Bronze-rated Xtrackers MSCI Europe Information Technology Screened UCITS ETF was launched in June 2007.

iShares € Govt Bond 20yr Target Duration UCITS ETF

• Morningstar Rating: ★★
• Expense Ratio: 0.15%
• Morningstar Category: EUR Bond – Long Term

The €272.7 million iShares € Govt Bond 20yr Target Duration UCITS ETF ranked ninth for the year, falling 11.48%. The iShares ETF, which is passively managed, fell further than the 5.86% loss on the average EUR bond – long term fund. Over the past three years, the fund has lost 2.55%, underperforming the 0.57% gain on funds in its category, placing it in the 94th percentile for the period.

The Bronze-rated iShares € Govt Bond 20yr Target Duration UCITS ETF was launched in January 2015.

iShares US Property Yield UCITS ETF

• Morningstar Rating: ★★★★
• Expense Ratio: 0.4%
• Morningstar Category: Property – Indirect North America

The tenth worst-performing ETF in 2025 was the €476.8 million iShares US Property Yield UCITS ETF. The passively managed iShares ETF declined 11.31%, falling further than the average property – indirect north america fund, which dropped 10.20%. Over the last three years, the fund has climbed 2.92%, outperforming the 1.16% gain on funds in its category, placing it in the 10th percentile for the period.

The Silver-rated iShares US Property Yield UCITS ETF was launched in November 2006.

What Are ETFs?

Exchange-traded funds are investments that trade throughout the day on stock exchanges, much like individual stocks. They differ from traditional mutual funds—known as open-end funds—which can only be bought or sold at a single price each day. Historically, ETFs have tracked indexes, but in recent years, more ETFs have been actively managed. ETFs cover a range of asset classes, including stocks, bonds, commodities, and most recently cryptocurrency.

The Best ETFs: More Ideas to Consider

• Read the latest articles on ETFs.
• Use the ETF screener to find the best ETFs according to your specific criteria. You can search for funds based on their fees, Morningstar Medalist Ratings, manager tenures, and more.