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Here’s how I would spend $10,000 on ASX shares this week

Although the S&P/ASX 200 (ASX: XJO) index has started off the week with a bit of a stutter, that just means it’s a prime time to sink some more cash into the markets.

Here’s how I would put a $10,000 lump sum to work in the share market this week.

Afterpay Touch Group Ltd (ASX: APT)

It always shocks me how much money flows out of growth stocks like Afterpay when there’s a hint of trouble on the horizon. After making a fresh new all-time high of $37.41 early last week, APT shares are now well and truly in the ASX doghouse. Afterpay shares fell over 20% between Tuesday and Friday last week and are swapping hands for $28.90 at the time of writing. If you’re a true believer in Afterpay’s future, it might be a great time to load up the truck.

BHP Group Ltd (ASX: BHP)

Another ASX share that has fallen out of favour recently has been the Big Australian. BHP shares are also down significantly from their 52-week high of $42.33, trading for $34.94 at the time of writing. I think this price is offering investors a pretty good deal here, especially considering BHP’s current dividend yield of 5.5%. Although BHP is a resources stock somewhat chained to the prices of the commodities it mines, it is still an ultra-low cost producer. Thus, I think it will continue to deliver stellar returns to its shareholders over the long-term.

Vanguard Australian Shares Index ETF (ASX: VAS)

With share prices relatively high this week, it might be a good time to just bulk out the passive investing portion of your portfolio (if you have such a thing). I think diversifying across the whole index is a great way of mitigating pricing risks in your individual stocks and Vanguard’s VAS ETF (exchange traded fund) is one of the cheapest ways of doing so. VAS charges a management fee of just 0.1%, leaving more money in your pocket at the end of the day.

Foolish takeaway

Looking at the share market this week, I think these 3 ASX investments are amongst the best places to deploy your capital. Even if markets are rising, there are always value opportunities to take advantage of.

5 stocks under $5

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Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of AFTERPAY T FPO. 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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