Exchange traded funds (ETFs) can be great additions to a balanced portfolio. This is because they give investors easy access to a large and diverse group of different shares.

Due to their growing popularity, there are an increasing number of ETFs for investors to choose from.

To narrow things down, I have picked out two ETFs that are popular with investors right now. They are as follows:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The BetaShares Asia Technology Tigers ETF tracks the performance of the ~50 largest technology and ecommerce companies that have their main area of business in Asia.

As these companies, or tigers, are among the fastest growing in the region and revolutionising the lives of billions of people, they have been tipped to generate strong returns for investors over the long term.

Among its holdings are the likes of Alibaba, Baidu, Samsung, and Tencent Holdings.

In respect to Tencent, it is a multinational technology conglomerate and one of the largest companies in the world. It is best known for its communication and social platforms, Weixin (WeChat) and QQ, which have over a billion users.

As for Baidu, it is a search engine giant and China’s answer to Google. It is dominating search in the lucrative market, with an estimated 80% share of the market.

BetaShares Global Cybersecurity ETF (ASX: HACK)

Another ETF to look at is the BetaShares Global Cybersecurity ETF. This ETF aims to track the performance of an index that provides investors with exposure to the leaders in the global cybersecurity sector.

BetaShares notes that the cybersecurity sector is heavily under-represented on the ASX. As such, this ETF ensures that Australian investors don’t miss out on this rapidly growing side of the tech industry.

Among the ETF’s holdings are cybersecurity giants and emerging players. This includes Accenture, Cisco, Cloudflare, Crowdstrike, Fortinet, Okta, and Palo Alto Networks.

In respect to the latter, Palo Alto Networks, it is the global leader in cybersecurity solutions. It offers advanced firewalls and cloud-based products that extend firewalls to cover other aspects of security. It has over 85,000 customers across over 150 countries. From these customers it generated US$4.3 billion of revenue in FY 2021, which was up 25% year on year.

The post 2 popular ETFs for ASX investors to buy next week appeared first on The Motley Fool Australia.

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More reading

• Here are 3 top ETFs for ASX investors to buy now
• 3 popular ETFs for ASX investors to buy now
• Get exposure to Asian shares with these 2 ETFs
• 3 ASX ETFs for investors to buy next week
• How has the HACK ETF averaged annual returns of 19%?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia has positions in and has recommended BETA CYBER ETF UNITS. The Motley Fool Australia has recommended BetaShares Asia Technology Tigers ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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If you have room for some new additions this month, then it could be worth considering the two ASX tech shares listed below.

Here’s what you need to know about these buy-rated ASX tech shares:

Aristocrat Leisure Limited (ASX: ALL)

The first ASX tech share that could be a buy is Aristocrat. It is a gaming technology company with a portfolio of leading pokie machines and digital games.

The team at Morgans is bullish on Aristocrat and recently added the company to its best ideas list. The broker has put an add rating and $43.00 price target on its shares.

It commented:

ALL is a global market leader in the rapidly growing land-based gaming and mobile gaming industries. It has delivered revenue growth of 17% pa over the past five years and 80% of revenue in FY21 was recurring. We expect ALL to continue to take market share in all its product segments. Demand for its gaming machines and digital games is resilient to economic cycles.

ALL’s 1-year forward P/E has derated to less than 20x from a high of 30x last September. With $3.3bn of currently available liquidity, ALL has significant funding capacity for growth, even after the buyback. It has a stated ambition to build a meaningful presence in the rapidly growing online real money gaming segment, which we believe may be achieved both through organic investment and inorganic acquisitions.

Xero Limited (ASX: XRO)

Another ASX tech that could be in the buy zone is Xero. It is a cloud-based accounting solution platform provider to small and medium sized businesses globally.

Goldman Sachs is very bullish on Xero and recently reiterated its buy rating and $118.00 price target on the company’s shares. This followed news that the company has increased subscription prices in the key ANZ and UK markets.

The broker commented:

W remain confident Xero will be able to execute on these increases while preserving its existing subscriber base, noting their strong track record in putting through increases while driving churn lower. We would also not be surprised if NA/ROW markets were also considered for a pricing increase, given they previously followed ANZ/UK by 2 months in Nov-21.

We are Buy-rated on XRO.AX, with a 12m TP of A$118.

The post 2 ASX tech shares brokers rate as buys this month appeared first on The Motley Fool Australia.

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More reading

• ASX 200 midday update: GUD crashes, tech shares tumble
• Why I think the Xero share price is now too compelling to ignore
• 3 ASX shares to buy for scary times: experts
• Analysts name 2 ASX growth shares to buy with huge upside potential
• Top brokers name 3 ASX shares to buy today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Xero. The Motley Fool Australia has positions in and has recommended Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Are you looking for dividend shares to add to your income portfolio? If you are, then the two listed below could be worth considering.

These dividend shares have been rated as buys and tipped to provide income investors with big yields.

Here’s what you need to know about them:

HomeCo Daily Needs REIT (ASX: HDN)

The first ASX dividend share for income investors to look at is the HomeCo Daily Needs REIT. It is a property company investing in neighbourhood retail, large format retail, and health and services.

Goldman Sachs is a fan of the company and has a buy rating and $1.70 price target on its shares. The broker believes it is well positioned to benefit from the shift to omni channel retailing.

Goldman commented:

We continue to believe HDN is undervalued at its current valuation given its diversified tenant base, and see it as well positioned to benefit from the shift to omni channel retailing, with additional external growth opportunities to drive earnings growth over the medium-term.

In respect to dividends, Goldman is forecasting dividends per share of 8 cents in FY 2022 and 9 cents in FY 2023. Based on the current HomeCo Daily Needs share price of $1.27, this will mean dividend yields of 6.3% and 7.1%, respectively.

South32 Ltd (ASX: S32)

Another ASX dividend share to look at is South32. It is diversified mining and metals company producing a range of commodities. This includes alumina, aluminium, bauxite, coal, copper, manganese, nickel, and silver across operations in Australia, Southern Africa and South America.

Citi is a big fan of the company. It currently has a buy rating and $5.50 price target on the miner’s shares. The broker believes the company’s shares are trading at an attractive level. It commented:

S32 held a strategy update today and there was little to change baseline forecasts save for higher FY23/24 capex. Costs pressures are evident – but are industry not company specific. S32 has production growth, trades at a discount to DCF and on low valuation multiples. What’s not to like compared to peers.

As for dividends, the broker is forecasting fully franked dividends per share of 38 cents in FY 2022 and 40 cents in FY 2023. Based on the current South32 share price of $4.16, this will mean yields of 9.1% and 9.6%, respectively.

The post Here are 2 ASX dividend shares experts say are buys appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Broker names 2 ASX 200 mining shares with big dividends to buy now
• Here are the 3 most traded ASX 200 shares on Wednesday
• 2 high yield ASX dividend shares to buy according to analysts
• Here are the 3 most traded ASX 200 shares on Friday

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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Investors that have seen $100 billion of their wealth evaporate this week can take solace in the fact that ASX shares could still be among the safest bets in this turbulent environment.

That’s the assessment of Crestone Wealth Management head of equities Todd Hoare. He’s urging investors to hide their capital in Australia, reported The Weekend Australian.

Hoare explained that:

From an equity perspective, Australia looks like a safer place to be. It is lower beta (that is, less volatile), valuations are optically more attractive, we’re a resource-led economy, and even though inflation is proving a bit stickier, we shouldn’t get the same level of entrenched inflation seen elsewhere in the world.

Why ASX shares could outperform other share markets

It’s the fear of runaway inflation and the potential overshoot in interest rates that’s triggering the latest market sell-off.

Central banks in the US to Australia are rushing to hike rates to curb high inflation. This increases the risk of a recession or stagflation.

Given the overrepresentation of ASX resources shares on our market, this should put us in a better position to outperform.

Diversification remains key

But Hoare warned that ASX investors with a substantial share portfolio will need to diversify. He means owning other asset classes and not just shares. He said:

It comes down to multi assets, with bonds offering a little bit more value than what they have done for a long period of time, and alternative asset classes in the mix. Even cash to some degree, even though in real terms inflation is eroding that. With very few places to hide right now, all you can do is try to lose less.

This is also where gold could shine. While the precious metal hasn’t rallied, it’s at least managed to hold its ground at above US$1,800 an ounce as the US share indices crashed into a bear market.

The types of ASX shares to watch

Coming back to ASX shares, the sectors that Hoare likes in a high inflationary environment include consumer staples, energy companies, and defensives, such as healthcare.

Meanwhile, Doug Turek of Minchin Moore Private Wealth Investors echoed a similar view, reported The Australian. He highlighted ASX energy, resources, and agriculture shares as places to shelter from inflation.

No need to chase shares higher

However, he warns that these shares do not look cheap as many have outperformed over the past two years.

Turek noted: “All those assets that might work better than others in times of inflation could be very pricey now. Rushing after them at this stage might not be the right move.”

Investors should take their time as inflation can be volatile, Turek added. This means investors might get a second chance to buy ASX commodity shares at a better price later.

The post Why ASX shares are ‘a safer place to be’: fundie appeared first on The Motley Fool Australia.

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More reading

• Here are 2 ASX dividend shares experts say are buys
• Top brokers name 3 ASX shares to buy next week
• Can Woodside shares deliver an attractive dividend yield AND 16% upside in 2022?
• Why I would invest $10,000 in these 3 ASX shares
• Is the Vanguard US Total Market Shares Index ETF now trading at bargain levels?

Motley Fool contributor Brendon Lau has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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