It's getting quite hard to find good value shares these days with interest rates so low at the moment.
The search for both yield and growth has led many ASX shares trading above their intrinsic value in my opinion.
However, I think there are still opportunities and if I were to be given $10,000 to invest then I'd consider the below shares:
WAM Global Limited (ASX: WGB) – $2,500
You can't go too far wrong if you buy shares for less than they're worth. WAM Global is a listed investment company that invests in over
Even after taking into account the fees that WAM Global charges, I think it looks good value at a 9% discount to the pre-tax NTA at May 2019. The discount is likely to be in the double digits at the end of June 2019 once you factor in the growth of the portfolio.
With a focus on mostly small and medium international businesses, I think WAM Global could be a good way to diversify away from Australian businesses.
Vitalharvest Freehold Trust (ASX: VTH) – $2,500
This is a real estate investment trust (REIT) which has not seen a surge in valuation unlike most other REITs on the ASX.
It owns farmland, specifically berry and citrus fruit farms, which are leased to Costa Group Holdings Ltd (ASX: CGC). Vitalharvest also has a profit-share agreement with Costa.
So whilst Vitalharvest benefits from an 8% base rent from Costa, Vitalharvest investors also profit when Costa does well. The current problems at the farms are hopefully only short-term, so this could be an opportune time to buy, particularly as it aims to expand its farmland property portfolio.
MFF Capital Investments Ltd (ASX: MFF) – $5,000
MFF Capital is another overseas-shares focused LIC which has an excellent track record of outperforming the global share market over the past five years.
I think it's a wonderful investment candidate not only for its strong investment returns but also because it has a low fixed fee which means as MFF Capital gets bigger, the fee becomes smaller as a percentage of its net assets.
It's currently valued at a 9% discount to its June 2019 pre-tax NTA, although it's priced at an 11% premium to the post-tax NTA. At the moment over 40% of its assets are allocated to shares of Visa, MasterCard and Home Depot.
Foolish takeaway
I'm quite willing to invest in different shares to most other people to get differentiated and hopefully better returns than the average Aussie investor. Over the long-term I think the global investment mandate of MFF Capital will be very useful for good returns compared to the ASX.
