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What ASX shares should you invest in during a bull market?

What ASX shares should you invest in during a bull market?

It’s a tough question because many shares have performed so strongly. The S&P/ASX 200 Index (ASX: XJO) has risen by 31.8% since 23 March 2020. That’s an amazing performance.

But where are we supposed to invest now with many shares now trading close to, or above, their pre-coronavirus highs?

The recovery of some shares has been incredible. The Afterpay Ltd (ASX: APT) share price is above $50. The ASX Ltd (ASX: ASX) share price almost reached $90. The Xero Limited (ASX: XRO) share price briefly went above $90 this week. The Kogan.com Ltd (ASX: KGN) share price is flying high.

The Australian economy continues to recover and we are in a much better position than Europe or the US. The ASX is justifiably on an upward trend. I’d be more concerned with the US share market than ours.

What ASX shares should we invest in?

I think we should take the same approach as we always do with shares. Is it good value today considering its prospects and the potential that things won’t work out perfectly?

Vanguard Australian Shares Index ETF (ASX: VAS) could be a decent option considering it’s still noticeably lower than before the coronavirus sell off.

There are some shares that I think still look good value considering the global uncertainty regarding the pandemic and the economic effects. I think stocks like Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) and Brickworks Limited (ASX: BKW) could be great value. Businesses such as Bubs Australia Ltd (ASX: BUB) and Pushpay Holdings Ltd (ASX: PPH) could grow into big businesses.

I also like the idea of some top performing fund managers who are playing it more cautiously like MFF Capital Investments Ltd (ASX: MFF) and Magellan Global Trust (ASX: MGG).

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

Tristan Harrison owns shares of Magellan Flagship Fund Ltd, MAGLOBTRST UNITS, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of AFTERPAY T FPO, PUSHPAY FPO NZX, and Xero. The Motley Fool Australia owns shares of and has recommended Brickworks, BUBS AUST FPO, Kogan.com ltd, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended 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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