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Investing $1,000 into these ASX shares could be a very smart move

Ideas and innovation

If you’re looking to invest in the share market, the good news is there are a lot of quality options to choose from.

Three ASX shares that I think would be smart choices are listed below. Here’s why I like them:

BetaShares NASDAQ 100 ETF (ASX: NDQ)

The first option to consider is actually an exchange traded fund. And arguably the best exchange traded fund out there – the BetaShares NASDAQ 100 ETF. Through just a single investment, this fund gives investors a piece of the 100 largest non-financial companies listed on the NASDAQ exchange. Among its holdings are the likes of Amazon, Apple, Facebook, Microsoft, Netflix, and Google parent company, Alphabet. As the majority of these 100 companies have very bright futures ahead of them, I believe the BetaShares NASDAQ 100 ETF has the potential to outperform over the next decade and beyond.

NEXTDC Ltd (ASX: NXT)

Another top ASX share for smart investors to invest $1,000 into is NEXTDC. It is a growing data centre operator which owns a collection of world class centres in key locations across Australia. I’ve been very impressed with the company’s performance over the last few years and particularly in FY 2020. For the 12 months ended 30 June 2020, NEXTDC delivered a 23% increase in EBITDA to $104.6 million. This was driven by strong demand for its data centre services thanks to the ongoing shift to the cloud. Pleasingly, with the shift to the cloud accelerating and still having a long way to go, I believe NEXTDC is perfectly positioned for growth over the 2020s. 

Xero Limited (ASX: XRO)

A final option for smart investors to look at investing $1,000 into is Xero. I think the leading cloud-based business and accounting software provider would be a great option. This is due to the quality of its platform, its high retention rates, and its large global market opportunity. At the end of July, Xero’s total subscribers had reached 2.38 million. While this is certainly a large number, it is still only a small slice of the global market. I expect the company to win a growing slice of this market over the next decade. Especially given the way it is evolving into a complete solution for small businesses.

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

James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of BETANASDAQ ETF UNITS and Xero. 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.

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