Which ASX ETFs are good options for a $1,000 investment?

A $1,000 investment can be a strong starting point on the ASX.

The right exchange traded fund (ETF) can spread that money across dozens, hundreds, or even thousands of companies in a single trade.

That makes ETFs useful for investors who want diversification, long-term growth, and a simple way to get started.

With that in mind, here are three ASX ETFs that could be good options for a $1,000 investment.

Betashares Global Cybersecurity ETF (ASX: HACK)

The Betashares Global Cybersecurity ETF gives investors exposure to one of the unavoidable costs of doing business in a digital world.

Every company with customer data, online payments, cloud software, connected devices, or remote workers needs to think about cyber protection.

That is what makes cybersecurity such an interesting long-term theme. It is not tied only to one product cycle or one fashionable technology. It is linked to the basic need to keep systems, identities, money, and information safe.

The fund owns companies that sit close to that problem, including CrowdStrike (NASDAQ: CRWD), Palo Alto Networks (NASDAQ: PANW), and Fortinet (NASDAQ: FTNT).

A $1,000 investment in this ETF is essentially a bet that digital risk will keep growing and that businesses will continue spending money to defend themselves.

The fund can be volatile because it is concentrated in a specialist sector. But for investors wanting targeted exposure to cybersecurity, it could be a compelling long-term option.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

The VanEck Morningstar Wide Moat ETF takes a different approach.

This fund is built around the idea that some businesses have stronger defences than others. Those defences might come from brand strength, customer relationships, cost advantages, patents, scale, or products that are difficult to replace.

The important part is that the fund is not simply buying the largest US companies by default. It is looking for businesses that combine competitive strength with valuation discipline.

Current holdings include NXP Semiconductors (NASDAQ: NXPI), Masco Corp (NYSE: MAS), and Airbnb (NASDAQ: ABNB).

That mix is quite different from a standard market-cap weighted US index. It gives investors exposure to companies from different industries, but with a shared focus on business quality and durability.

For a $1,000 investment, this ETF could suit someone who wants US exposure with a more selective investment process behind it.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

A third ASX ETF to consider is the Vanguard MSCI Index International Shares ETF.

This fund gives investors broad exposure to developed share markets outside Australia.

That can be useful because many Australian portfolios are naturally tilted toward local banks, miners, supermarkets, and dividend shares. The Vanguard MSCI Index International Shares ETF expands the opportunity by adding access to companies listed in the United States, Europe, Japan, and other major developed markets.

Its holdings include global giants such as NVIDIA (NASDAQ: NVDA), Apple (NASDAQ: AAPL), and Microsoft (NASDAQ: MSFT).

The fund is not trying to be clever or thematic. Its strength is breadth. Investors get exposure to a very large group of international companies, which can help reduce reliance on the Australian market alone.

For someone investing $1,000 and wanting a simple global foundation, it could be one of the easiest options on the ASX.

The post Which ASX ETFs are good options for a $1,000 investment? appeared first on The Motley Fool Australia.

More reading

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• 5 high-quality ASX ETFs to buy with $5,000
• 3 world-class ASX ETFs to help build a winning portfolio

Motley Fool contributor James Mickleboro has positions in VanEck Morningstar Wide Moat ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Airbnb, Apple, BetaShares Global Cybersecurity ETF, CrowdStrike, Fortinet, Microsoft, NXP Semiconductors, and Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Masco and Palo Alto Networks. The Motley Fool Australia has recommended Airbnb, Apple, CrowdStrike, Microsoft, Nvidia, VanEck Morningstar Wide Moat ETF, and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.