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Where to invest $500 into ASX shares right now

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If you’re new to investing, it is quite likely that you will not have considerable funds to put into the share market.

But I wouldn’t let that put you off starting your investment journey. After all, even an annual investment of $500 has the potential to grow into something meaningful over a long enough period of time.

For example, if you were to invest $500 into the share market each year for 30 years and earned an average annual return of 10%, your investments would grow to be worth over $90,000 at the end of the period.

I think this demonstrates how rewarding long term investing can be even when investing relatively small sums.

With that in mind, here are three top ASX shares that I think could be great options for that first $500 investment:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first option to consider buying with $500 is the BetaShares Asia Technology Tigers ETF. I’m a big fan of this exchange traded fund due to the collection of exciting tech shares which it gives investors exposure to. These companies are revolutionising the lives of billions of people in Asia and look very well-positioned for growth over the next decade and beyond. These include ecommerce giants Alibaba and JD.com, search engine company Baidu, electronics giant Samsung, and WeChat owner Tencent.

Nanosonics Ltd (ASX: NAN)

Another ASX share to consider buying with $500 is Nanosonics. It is an infection control specialist which currently generates its revenue from the trophon EPR disinfection system for ultrasound probes. This system has a massive market opportunity and could alone drive strong earnings growth over the next decade. However, it will soon be joined by a number of secretive products targeting other unmet needs. These products are also understood to have similar market opportunities. If they are a success, then they could take Nanosonics’ growth to the next level this decade

Pushpay Holdings Ltd (ASX: PPH)

A final ASX share to consider investing $500 into is Pushpay. It is a quick-growing provider of donor and church management software. Demand for its offering has been increasing very strongly over the last few years and particularly in FY 2020. This led to Pushpay recording a 33% increase in operating revenue to US$127.5 million this year. The good news is that the company still has a significant runway for growth. Management is aiming to capture a 50% share of the medium to large church market in the future. It estimates this to be a US$1 billion revenue opportunity. This is almost 8 times greater than its FY 2020 revenue.

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 February 15th 2021

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 Nanosonics Limited and PUSHPAY FPO NZX. The Motley Fool Australia owns shares of and has recommended BetaShares Asia Technology Tigers ETF. The Motley Fool Australia has recommended Nanosonics Limited 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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