• Why the Chalice (ASX:CHN) share price rocketed 28% today

    Miners working at the mine with an engineer representing Mineral Resources share price

    The Chalice Gold Mines Limited (ASX: CHN) share price is up 28.5% in late afternoon trading. This comes after the company released positive results from an airborne electromagnetic (AEM) survey in its 100%-owned Julimar Project in Western Australia.

    Chalice’s shareholders have largely been celebrating all year. Despite the share price falling 47% during the wider COVID-19 market selloff in February and March, year-to-date the Chalice share price is up a whopping 804%. And any investors who bought shares at the 16 March lows will be sitting on a gain of 1,256%.

    By comparison, the All Ordinaries Index (ASX: XAO) is down 12% in 2020.

    What does Chalice Gold Mines do?

    Chalice is an Australian gold and mineral exploration company based in Perth, Western Australia. The company has a portfolio of large, precious and base metal projects in premier locations across Australia.

    Chalice holds the 100%-owned Pyramid Hill Gold Project in Victoria’s under-explored northern Bendigo gold district. The company also is exploring for nickel at its King Leopold Nickel Project in WA’s frontier Kimberley region.

    Its 100%-owned Julimar Nickel-Copper-PGE Project is located north-east of Perth on private land and state forest. Chalice staked the project in early 2018 as part of its global search for high-potential nickel sulphide deposits.

    What did Chalice’s airborne survey reveal?

    This morning, Chalice reported its helicopter-borne low frequency electro-magnetic (EM) survey outlined three new extensive EM anomalies at its Julimar project.

    Airborne EM is often the first step to detecting shallow conductive sources, such as nickel sulphide mineralisation.

    Of the three anomalies, the highest priority target is the Hartog EM Anomaly. This extends for approximately 6.5 kilometres in the same region where Chalice made a significant greenfield PGE-Ni-Cu-Co discovery in March.

    The company is fully-funded with $46 million in cash as at 30 June. It has 4 rigs continuing the resource drill with assay results due on 50 holes.

    Chalice managing director Alex Dorsch said:

    We have speculated for some time that the area north of our recent Gonneville discovery is highly prospective. We have now supported that claim with major new, laterally extensive geophysical targets from the first airborne EM survey over the company’s granted tenure, which is a very exciting and important development…

    We are expecting initial feedback shortly regarding access to the state forest for the next stage of reconnaissance exploration activities. We are hopeful of being able to assess the compelling new anomalies and aim to expand Julimar into a district-scale, multi-discovery opportunity.

    With today’s share price surge in mind, investors are clearly expecting Chalice to be granted access to the state forest, as well as some positive drill results.

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Why the Regional Express (ASX:REX) share price is taking off today

    ASX travel shares taking off

    The Regional Express Holdings Ltd (ASX: REX) share price jumped today even the broader market retreated.

    The REX share price gained 4.1% to $1.14 in the last hour of trade after it revealed it was close to striking a funding deal that will see it compete directly against Qantas Airways Limited (ASX: QAN) and the recapitalised Virgin Australia.

    Regional Express share price on a high

    The outperformance of the Regional Express (REX) share price stands in contrast to the 0.5% fall in the S&P/ASX 200 Index (Index:^AXJO). The Qantas share price is also trading 2.2% lower at $3.76 at the time of writing.

    Other travel related stocks are also on the nose. The Flight Centre Travel Group Ltd (ASX: FLT) share price lost 4.3% to $12.83 while Webjet Limited (ASX: WEB) share price dived 6.4% to $3.56.

    REX share price heading for the big league

    Investors are excited about how REX may be transforming into a significant domestic carrier as it services the lucrative Melbourne, Sydney and Brisbane markets.

    The airline is a minor player flying between regional towns and under the shadow of Qantas and Virgin before COVID-19.

    The pandemic caused a major shake-up of the industry that REX is determined to leverage off – if it can get the cash for its transformation.

    Details for the convertible notes

    Management signed a term sheet with PAG Asia Capital (PAG) that could see the investment firm pump $150 million into REX via first-ranking senior secured convertible notes.

    Should the deal proceed, REX can draw on the first $50 million tranche of the funding at the end of December 2020. Management can draw on the balance over the following three years.

    The note can be converted into ordinary REX shares at $1.50 a pop, subject to certain adjustments. If PAG were to convert the first tranche of notes into shares, the funder will own around 23% of REX (based on REX’s current share base).

    Should PAG convert all the notes, it would hold around 48% of the airline’s shares.

    Once in a lifetime opportunity

    After the first draw down in December, PAG will be entitled to nominate two directors to REX’s board.

    “PAG is a well-respected and highly successful investment group which manages more than USD40 billion,” said REX’s chairman Lim Kim Hai.

    “With PAG’s support, I have every reason to believe that Rex can successfully launch its domestic major city jet operations.”

    But this isn’t a done deal. PAG will need to complete its due diligence and there’s the usual formalities that need to be followed. These include shareholder approval and the green light from the Foreign Investment Review Board as well as other regulators.

    The Regional Express share price held up relatively well through the pandemic. The stock dipped around 4% since the start of the year when the the QAN share price slumped by nearly half.

    These stocks could rocket in a Post-COVID world (FREE STOCK REPORT)

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor Brendon Lau owns shares of Webjet Ltd. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Buy these ASX dividend shares to beat low interest rates

    thumbs up

    Fortunately for income investors in this low interest rate environment, there are a good number of quality dividend shares offering attractive yields.

    Two top ASX dividend shares that I think investors ought to consider buying right now are listed below. Here’s why I would buy them:

    Bravura Solutions Ltd (ASX: BVS)

    Due to a sharp pullback in the Bravura Solutions share price in 2020, I think it would be a great option for income investors. Bravura is a leading provider of software products and services to the wealth management and funds administration industries. Among its portfolio you’ll find the Sonata wealth management platform, the Rufus transfer agency solution, the Garradin back office solution, and the Midwinter financial planning solution.

    Combined, I believe these have positioned Bravura perfectly for growth once the pandemic passes. For now, I estimate that it will pay shareholders an 11.5 cents per share dividend in FY 2021. Based on the current Bravura share price, this equates to a 3.3% dividend yield.

    Vanguard Australian Shares High Yield ETF (ASX: VHY)

    Another option for income investors to consider buying is the Vanguard Australian Shares High Yield ETF. I’m a big fan of this ETF due to the diverse group of high yielding shares that it gives investors exposure to through just a single investment.

    Among its holdings you’ll find many blue chip favourites such as the big four banks, BHP Group Ltd (ASX: BHP)Coles Group Ltd (ASX: COL)Fortescue Metals Group Limited (ASX: FMG), and Telstra Corporation Ltd (ASX: TLS). Estimating the yield on offer in FY 2021 is tricky because of the pandemic, but I would expect something in the range of 4% to 5%. This is likely to improve greatly in the future as companies bounce back from the crisis and are able to share more of their profits with shareholders.

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Bravura Solutions Ltd and Telstra Limited. The Motley Fool Australia owns shares of COLESGROUP DEF SET. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Why the Esports Mogul (ASX:ESH) share price is up 250% in 2 months

    child in superman outfit pointing skyward

    The Esports Mogul Ltd (ASX: ESH) share price is up 250% since this time 2 months ago when it was 0.4 cents. The software company’s share price is currently trading at 1.3 cents.

    Why is the share price soaring?

    Esports Mogul has released a string of good news in the last 2 months which has likely supported its share price.

    The good news started in early August with the announcement that former Spotify boss Kate Vale would join the Esports Mogul board as a non-executive director. In addition to her experience with Spotify, Vale has worked in leadership positions for YouTube and Google and has 24 years’ experience in digital media, social media and technology. Commenting on her appointment, she said the esports eco-system was still in its early stages, which created opportunities for returns to shareholders.

    Esports Mogul later announced it had appointed Michael Rubinelli as the new CEO. A former Electronic Arts, Midway and Disney executive, Rubinelli has 20 years’ experience in executive leadership, product development and revenue growth. He also has experience leading a startup gaming company, and helped Disney to produce games which generated more than US$500 million in revenue.

    In the company’s half year report to 30 June 2020, released in late August, Esports Mogul announced that revenue had soared 266.66% to $161,242.  This came as the company promoted itself as a wholly online esports tournament provider while in-person tournaments were unavailable due to COVID-19.

    Earlier this month, Esports Mogul announced a partnership with Buriram United, a leading football club in Thailand, to provide a branded hub for gaming tournaments. The company said the partnership had already generated 1000 paying subscribers.

    Also in September, Esports Mogul announced it was improving matchmaking for the popular gaming title Fortnite to allow customised matchmaking. Rubinelli said the company looked forward to working with the Fortnite community for years to come.

    About the Esports Mogul share price

    Esports Mogul is a software company that provides an online platform for esports player matchmaking and tournaments. It offers its platform for some of the world’s most popular esports titles. Esports Mogul has been listed on the ASX since 2011.

    Th Esports Mogul share price is up 367% since its 52-week low of .3 cents. It is up 40% since the beginning of the year and 40% since this time last year. 

    Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

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    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor Chris Chitty has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Where to invest your BHP (ASX:BHP) dividends

    Close up of hands holding US bank notes

    Tofay eligible BHP Group Ltd (ASX: BHP) shareholders will be paid the mining giant’s fully franked 75.5 cents per share fully franked dividend.

    While some investors will use this for income, others may wish to reinvest these funds back into the share market.

    Here’s where I would invest these dividends:

    Appen Ltd (ASX: APX)

    If you’re looking to invest these funds into a growth share, then I feel Appen could be one to consider. Especially given its exposure to the rapidly growing artificial intelligence market as the global leader in the development of high-quality, human-annotated training data.

    Through its team of over 1 million crowd-sourced workers, Appen is able to collect and label high volumes of image, text, speech, audio, and video data that is used to build and improve artificial intelligence models. With businesses and governments continuing to invest heavily in the space, I expect demand for its services to grow strong over the coming years. This should put Appen in a position to continue growing its earnings at a strong rate long into the future.

    Rural Funds Group (ASX: RFF)

    If you’re looking for even more dividends, then you might want to consider Rural Funds. It is an agriculture-focused property company which owns a portfolio of high quality property assets with long tenancy agreements. And when I say long, I mean long. Rural Funds finished FY 2020 with a weighted average lease expiry of ~11 years.

    And given that the company has rental increases built into these leases, it is exceptionally well-positioned to deliver on its distribution target. Management is aiming to increase its distribution by 4% per annum over the long term. It has already committed to this in FY 2021 and plans to lift its distribution by this margin to 11.28 cents per share. Based on the latest Rural Funds share price, this equates to a 4.9% yield.

    Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED. The Motley Fool Australia owns shares of Appen Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Why REITs have outperformed despite COVID-19

    Real Estate Investment Trust

    Australian real estate investment trusts (REITs) have proven to be resilient the past couple of months, despite the impact of COVID-19.

    Intuitively a recession should dampen demand for real estate. 

    But Pengana Capital Group Ltd (ASX: PCG) reported REITs gained 8% during the August reporting season, outperforming the 2.8% returned by the rest of the market. The sector has been flat this month.

    Pengana fund manager Amy Pham told The Motley Fool real estate funds had held firm because of two reasons.

    “Things were not as bad as originally expected with rental collection for office and industrial assets remaining high – on average more than 95%,” she said.

    “Retail was below 50% but headline collection rate showed an improvement in July as economies started to reopen.”

    The second reason was the perceived value during August.

    “A-REIT sector showed value with the spread to 10-year bond of more than 400 basis points compared to long term average of 200 basis points.”

    Uncertainty in real estate

    Pham admitted the REIT reporting season was difficult to interpret because of the uncertainty in quantifying the impact of:

    • Treatment of rental rebates on cash flow
    • Structural shifts in e-commerce
    • COVID implications for the retail sector
    • Working from home on commercial real estate

    Many REITs withdrew guidance during August.

    “The structural shift of online retailing on discretionary malls is now well understood and are reflected in the share price. The structural shift from WFH on the office sector is less clear,” Pham told The Motley Fool.

    “We expect that there will be greater pressure on the CBD assets where valuations are more at risk as tenants look for better value space or decentralise their workforce.”

    ‘Alternative’ real estate is hot

    Pham runs the Pengana High Conviction Property Securities Fund. 

    Pengana reported that the portfolio now significantly included “alternative real estate”.

    “We currently hold more than 40% of the portfolio in childcare, seniors living, data centers, and affordable housing such as manufactured home estates.

    “We believe these sectors provide both sustainable earnings growth driven by secular trends and diversification outside the traditional core sectors of retail, office and industrial.”

    Pengana Capital Group was founded in 2003 and now actively manages more than $3 billion in various funds. The company listed on the ASX after a 2017 merger with Hunter Hall International.

    Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • Forget BrainChip (ASX:BRN) and buy and hold these outstanding ASX shares

    buy and hold

    Rather than trying to get rich quickly through investments in speculative shares like BrainChip Holdings Ltd (ASX: BRN), I think investors should focus on growing their wealth over the long term

    Arguably the best way to do this is through buying and holding the shares of quality companies.

    But which ASX shares would be great buy and hold candidates? Here are three to consider:

    Cochlear Limited (ASX: COH)

    The first option for a buy and hold investment is Cochlear. I believe the hearing solutions company is well-positioned to be a market beater over the 2020s thanks to its exposure to the ageing populations tailwind. By 2050 there are forecast to be 1.5 billion people over the aged of 65. This will be almost triple the number of over 65s in 2010. I expect this population shift to drive increasing demand for its high quality product portfolio in the future. Another positive is the industry’s high barrier’s to entry, which should limit competition in the future.

    Nearmap Ltd (ASX: NEA)

    Another option to consider buying and holding is Nearmap. It is an aerial imagery technology and location data company with operations in the ANZ and North American markets. I think it could be a great long term option due to its sizeable opportunity in these markets. It also has the option to accelerate its growth in the future by expanding into new geographies.

    Pushpay Holdings Group Ltd (ASX: PPH)

    A final ASX share to consider as a buy and hold option is Pushpay. Over the last few years Pushpay has evolved into a full engagement solution that now serves almost 11,000 customers around the world. The increasing demand for its platform, which has accelerated during the pandemic, has resulted in stellar operating revenue and profit growth. The good news is that the company is still only serving a small portion of its market and has bold plans to grow its share in the future. I believe this means it still has a very long runway for growth.

    Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

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    James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Cochlear Ltd., Nearmap Ltd., and PUSHPAY FPO NZX. The Motley Fool Australia has recommended Cochlear Ltd., Nearmap Ltd., and PUSHPAY FPO NZX. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • 3 ASX dividend shares to buy for 2021

    piggy bank wearing crown representing asx share dividend king

    There are a number of ASX dividend shares that could be worth buying for income with 2021.

    It’s pretty difficult for income investors to get enough income at the moment. Australia’s official interest rate has been cut to just 0.25%. That makes it hard to make decent money from your bank account.

    I think ASX dividend shares are the answer for the income predicament. Businesses can generate good profits and pay out attractive dividends to shareholders. Some ASX shares have cut their dividends significantly, such as Westpac Banking Corp (ASX: WBC), there are better ideas out there.

    Here are three great examples:

    Brickworks Limited (ASX: BKW)

    Brickworks is a diversified property business. It sells a variety of products in Australia like precast, roofing, bricks, paving and masonry. The construction industry could see a resurgence as Australia emerges from the impacts of COVID-19.

    Some banks like Westpac are predicting that property prices could bounce over the next couple of years. I think that could be good news for demand for Brickworks products.

    One of the great things about Brickworks is its dividend reliability. The ASX dividend share hasn’t cut its dividend for over 40 years. That’s a very impressive record in my opinion.

    Brickworks has diversified assets including a large holding of Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) shares as well as a 50% stake of an industrial property trust along with Goodman Group (ASX: GMG).

    In 2021 the giant warehouses for Amazon and Coles Group Limited (ASX: COL) will be close to be completed. This would be a big boost for the value of the property trust.

    At the current Brickworks share price it has a grossed-up dividend yield of 4.5%. It’s trading at under 11x FY21’s estimated earnings.

    WAM Microcap Limited (ASX: WMI)

    WAM Microcap is a listed investment company (LIC) which invests in businesses with market capitalisations under $300 million.

    ASX shares can be great opportunities if you can fund those hidden gems that are about to go on to make big returns. WAM Microcap’s investment team have been very good at finding those opportunities.

    The LIC can use the investment returns it makes to pay large ordinary and special dividends. WAM Microcap has paid a special dividend in each of the last three financial years.

    Since inception in June 2017, WAM Microcap portfolio’s gross return before fees, expenses and taxes has been 21.7% per annum. That’s a very strong return. Over the past year, which includes COVID-19, the gross portfolio return has been 25.4%.

    At the current WAM Microcap share price it has a grossed-up ordinary dividend yield of 5.7%. Including this FY20’s special dividend, at today’s WAM Microcap share price shareholders received a grossed-up dividend of 8.5% in FY20.

    MFF Capital Investments Ltd (ASX: MFF)

    MFF Capital is another LIC ASX share. It has been one of the best performers over the past decade (in total return terms) and I think the next decade could be very good under the stewardship of Chris Mackay.

    It targets quality international shares which have strong competitive advantages. When you look at its current holdings, there is a clear bet on the payment giants Visa and Mastercard. Those two investments make up about a third of the portfolio. They have a long growth runway as more transactions turn cashless and there’s also the rise in e-commerce.

    The MFF Capital board is looking to increase the six-monthly dividend payment to 5 cents per share in the medium-term. That translates to a grossed-up dividend yield of 5.5% at the current MFF Capital share price.

    The ASX share has a lot of cash at the moment to protect against market volatility whilst it looks for new investment opportunities. At the current MFF Capital share price it’s trading at a 7% discount to the net tangible assets (NTA) per share at 18 September 2020.

    Foolish takeaway

    I think all three of these ASX dividend shares could be good options for income over the coming years. I believe Brickworks will continue to be very reliable, whilst WAM Microcap could continue its large dividend payments.

    Where to invest $1,000 right now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

    *Returns as of June 30th

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    Motley Fool contributor Tristan Harrison owns shares of Magellan Flagship Fund Ltd, WAM MICRO FPO, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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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  • ASX 200 hits 3-month low! Is it time to buy ASX shares today?

    red alarm clock against bright orange background representing time to buy asx 200 shares

    The S&P/ASX 200 Index (ASX: XJO) isn’t starting the week too well. ASX 200 shares are down another 0.62% today (at the time of writing), which backs up yesterday’s 0.7% drop. The ASX 200 is now sitting at 5,784 points, which is a 3-month low. The index has been down trending for a month, and is now 6% below where it was on 25 August. It’s an interesting week for all assets as well. Gold has slumped, oil too. Even cryptocurrencies have been selling off of late.

    So, is this the right time to be buying ASX 200 shares? The old saying does go ‘buy low, sell high’ after all…

    Time to load up the truck on ASX 200 shares?

    With the market at a 3-month low, I think it is a good time to think about deploying some capital in the markets, especially if you’ve spent the past few months sitting on your hands. No one knows whether this dip in ASX 200 shares is a temporary one or not. The markets could explode higher tomorrow, rendering today’s falls as the ‘bottom’. Equally likely, markets could continue to plunge tomorrow, or else just stay where they are. It’s therefore foolish (and not the good kind of Foolish) to try and base your investing decisions on these factors alone.

    But general market weakness does mean there’s a fair chance any companies you might have been watching will be trading at relatively low valuations, at least compared to what we’ve seen in recent months. So I’m using this slump in ASX 200 shares to renew my watchlist, and reevaluate any shares I’ve put in the ‘too expensive’ bucket in recent months.

    I’m only able to do this becuase I haven’t been buying any shares, at least since April. I thought it prudent to instead build my cash position back up after exhausting most of it in the March crash. I’m now considering putting some of that cash to work (it’s not doing me any good in the bank anyway) and initiating or topping up ASX 200 share positions that look cheap today. Mind you, I’m only planning on deploying some cash. I’m still keeping most of my powder dry in case things continue to trend lower.

    And if things rebound and the markets start pushing back towards 6,000 points, then I’ll start stockpiling cash once again. Timing the markets is usually always a terrible idea. But that doesn’t mean you can’t tilt the playing field a little bit to give yourself some options.

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

    More reading

    Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

    The post ASX 200 hits 3-month low! Is it time to buy ASX shares today? appeared first on Motley Fool Australia.

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  • Buy BetaShares NASDAQ 100 ETF (ASX:NDQ) and these ETFs today

    businessman holding world globe in one hand, representing asx etfs

    I think 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 number of different shares through just a single investment.

    There are a lot of ETFs for investors to choose from, so which should you buy? Three of the best in my opinion are listed below. Here’s why I like them:

    BetaShares NASDAQ 100 ETF (ASX: NDQ)

    My favourite ETF continues to be the BetaShares NASDAQ 100 ETF. It gives investors exposure to 100 of the largest non-financial companies on the famous Nasdaq index. This includes some of the biggest and most iconic companies in the world. Among its holdings are the likes of Amazon, Apple, Facebook, Microsoft, Netflix, and Tesla. Given the quality of these companies and their very positive outlooks, I believe the Nasdaq 100 ETF can generate strong returns for investors over the next decade.

    VanEck Vectors Australian Banks ETF (ASX: MVB)

    If you’re looking to take advantage of the recent pullback in bank shares, then you might want to take a look at the VanEck Vectors Australian Banks ETF. I think this ETF would be a great way to gain exposure to the banking sector as it gives investors a piece of all the big four banks, the regionals, and even investment bank Macquarie Group Ltd (ASX: MQG) through a single investment. This is especially helpful if you’re not sure which bank to buy ahead of others.

    VanEck Vectors China New Economy ETF (ASX: CNEW)

    A final ETF to consider buying is the VanEck Vectors China New Economy ETF. It gives investors access to China through a portfolio of exciting companies which are in sectors making up “the New Economy.” This includes the technology, health care, consumer staples, and consumer discretionary sectors. The VanEck Vectors China New Economy ETF is invested in 120 companies, which it believes represent growth at a reasonable price.

    Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

    More reading

    James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of BETANASDAQ ETF UNITS. The Motley Fool Australia has recommended BETANASDAQ ETF UNITS. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

    The post Buy BetaShares NASDAQ 100 ETF (ASX:NDQ) and these ETFs today appeared first on Motley Fool Australia.

    from Motley Fool Australia https://ift.tt/3mI67IU