Why I’d buy these Betashares ETFs in September

Exchange-traded funds (ETFs) are one of my favourite ways to add exposure to areas of the market that can be difficult to capture with individual ASX shares.

If I were putting fresh money to work this September, these three Betashares ETFs would be high on my list.

Betashares S&P 500 Equal Weight ETF (ASX: QUS)

The QUS ETF gives investors exposure to 500 leading US companies with an important difference from a traditional S&P 500 fund.

Each company receives an equal weighting when the index is rebalanced quarterly. That means the portfolio is less dependent on a small group of enormous technology companies driving returns.

I like that approach at the moment. The US share market offers exposure to an enormous range of world-class businesses across healthcare, industrials, financial services, consumer goods, technology, and plenty of other industries.

Giving those companies a more equal influence means investors can participate if US market growth becomes more evenly spread.

It also gives me a different way to invest in the United States without once again making the largest technology names the centre of the portfolio.

Betashares India Quality ETF (ASX: IIND)

India is another market I would be interested in owning for the long term.

The Betashares India Quality ETF provides easy exposure to 30 Indian stocks selected using measures including profitability, leverage, and earnings stability.

I like the quality screen here. India offers a substantial long-term growth opportunity, but investing in an emerging market can bring additional risks. Focusing on financially stronger businesses gives me a more selective way to participate.

The country’s large population and developing economy create opportunities across areas such as banking, consumer spending, technology, manufacturing, and infrastructure.

I would expect plenty of volatility along the way, but I think India could become an increasingly important part of global share markets over the coming decades.

Betashares Australian Quality ETF (ASX: AQLT)

Closer to home, the AQLT ETF provides another way to approach Australian shares.

The fund targets high-quality ASX companies using return on equity, leverage, and earnings stability. Its index is designed to hold around 40 businesses rather than simply allocating the most money to the largest companies on the market.

I like that because the Australian share market can become heavily influenced by its biggest companies and sectors.

A quality-focused strategy can lead to a different portfolio, with Betashares noting that the fund has historically had greater exposure to areas such as consumer discretionary and less exposure to materials than the broader Australian market.

For a long-term holding, I think prioritising strong profitability, manageable debt, and steadier earnings is a sensible approach.

Foolish takeaway

I would happily consider all three ETFs this September.

What I like most is that they give me ways to invest beyond the most obvious market exposures. I can broaden my US holdings, participate in India’s long-term development, and take a more selective approach to Australian shares.

For investors prepared to hold through the inevitable ups and downs, I think each could have a place in a long-term portfolio.

The post Why I’d buy these Betashares ETFs in September appeared first on The Motley Fool Australia.

More reading

• 3 strong ASX ETFs I’d buy to try and beat the market
• 3 super ASX ETFs for beginner investors
• 3 Betashares ETFs I’d buy and hold for 10 years

Motley Fool contributor Grace Alvino 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.