3 excellent ASX ETFs to watch in June

A new month is almost here and now could be a good time for investors to think about where to put fresh money to work.

While markets may remain volatile, ASX exchange traded funds (ETFs) can offer a simple way to stay invested without relying on a single company to perform.

They can also provide diversification, exposure to long-term themes, and a clear investment strategy in one trade.

Here are three excellent ASX ETFs that could be worth watching closely in June.

Betashares Global Quality Leaders ETF (ASX: QLTY)

The first ASX ETF to watch is the Betashares Global Quality Leaders ETF.

This fund is built around companies with strong financial characteristics. That means businesses with healthy profitability, solid balance sheets, and the ability to generate attractive returns on capital.

That can be a useful approach in uncertain markets. When conditions become tougher, financially strong companies usually have more room to keep investing, protect margins, and defend their market positions.

The fund is not trying to chase every fast-growing company in the world. It is more selective than that. It gives investors exposure to global businesses that have already demonstrated a level of durability.

This could make it useful for someone who wants international growth exposure, but with a quality filter doing part of the work.

VanEck Australian Equal Weight ETF (ASX: MVW)

Another ASX ETF that could be worth watching is the VanEck Australian Equal Weight ETF.

Most Australian share market funds are heavily influenced by the biggest banks and miners. That can be fine when those sectors are performing well, but it also means investors may end up with more concentration than they realise.

This fund takes a different approach by giving companies a more equal weighting. That changes the shape of the exposure and reduces the dominance of the largest names.

It can also give more room for mid-sized companies to influence returns. These businesses may not always make the headlines, but some can have stronger growth profiles than the market’s biggest incumbents.

The fund will still move with the Australian share market. But its structure gives investors a different way to own local shares without relying so heavily on the usual giants.

BetaShares India Quality ETF (ASX: IIND)

A third ASX ETF to watch in June is the BetaShares India Quality ETF.

India has become one of the most closely watched growth markets in the world, supported by a large population, rising incomes, expanding digital adoption, and increasing economic influence.

This fund focuses on Indian companies with strong quality characteristics, rather than simply chasing the biggest businesses in the market. That can help investors gain exposure to long-term growth trends while still applying a quality filter.

Emerging markets can be volatile, and investors should expect periods of sharp market swings. But for those wanting exposure to one of the world’s fastest-growing major economies, this ETF could add an interesting international growth angle to a portfolio.

The post 3 excellent ASX ETFs to watch in June appeared first on The Motley Fool Australia.

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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.