Where to invest $5,000 into ASX ETFs in July

If you have $5,000 to invest in the share market but aren’t a fan of picking stocks, then exchange-traded funds (ETFs) could be worth considering.

That’s because ETFs remove the need to pick stocks and instead give you a slice of a group of shares. In some cases this can be hundreds or even thousands of stocks in one fell swoop.

But which ASX ETFs could be quality options for a $5,000 investment in July? Let’s take a look at three funds that could be quality additions to a portfolio. They are as follows:

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

Many investors see Warren Buffett as a role model when it comes to investing. And it isn’t hard to see why. The Oracle of Omaha has beaten the market by a large margin over multiple decades.

This has been underpinned by Buffett’s focus on buying companies with wide moats and fair valuations. Well, the good news is that the VanEck Vectors Morningstar Wide Moat ETF has been designed around this focus.

It focuses on investing in high quality companies with sustainable competitive advantages (wide moats) and fair valuations. And with this ASX ETF smashing the market over the last decade, this tried and tested strategy continues to deliver the goods for investors.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

Another ASX ETF that could be a good option for your hard-earned money is the Betashares Global Cash Flow Kings ETF.

Betashares highlights that this ETF could serve as a core exposure to global equities or alongside existing low-cost passive global ETFs to enhance a portfolio’s emphasis on cash-generating companies. So much so, it has recently named it as one to consider buying when interest rates start to fall.

It focuses on global companies with strong free cash flow, which could be a very good thing. Betashares notes that companies that generate high levels of free cash flow historically have tended to outperform broad global equity benchmarks over the medium to long term.

Among its holdings are Google parent Alphabet (NASDAQ: GOOG), payments giant Visa (NYSE: V), and cyber security leader Accenture (NYSE: ACN).

Vanguard All-World ex-U.S. Shares Index ETF (ASX: VEU)

Finally, the Vanguard All-World ex-U.S. Shares Index ETF could be a good option for a $5,000 investment.

It offers investors access to a whopping ~3,500 companies listed in developed and emerging markets across the globe. However, as its name indicates, it excludes companies from the United States.

This means it could be a good complement to popular US-centric ETFs, if you already own them.

Among this ASX ETF’s holdings are companies such as HSBC Holdings, LVMH Moet Hennessy Louis Vuitton, Samsung, and Taiwan Semiconductor.

The post Where to invest $5,000 into ASX ETFs in July appeared first on The Motley Fool Australia.

More reading

• Which US shares are ASX investors buying in 2024?
• Prediction: 2 US stocks that will be worth more than Nvidia 5 years from now
• Overinvested in ASX-focused ETFs? Here are three alternatives
• Does the VanEck Wide Moat ETF really have an 8% dividend yield?
• Buy and hold these ASX ETFs for 10 years+

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. HSBC Holdings is an advertising partner of The Ascent, a Motley Fool company. 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 Accenture Plc, Alphabet, Taiwan Semiconductor Manufacturing, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended HSBC Holdings and has recommended the following options: long January 2025 $290 calls on Accenture Plc and short January 2025 $310 calls on Accenture Plc. The Motley Fool Australia has recommended Alphabet and VanEck Morningstar Wide Moat ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.