If you're just starting your investment journey and have $500 to invest, but aren't sure which shares to buy, then you could consider exchange-traded funds (ETFs).
ETFs allow you to own a portion of a large and diverse number of shares through a single investment.
This means that instead of dedicating time to researching which shares to buy, you can just buy a collection of them with a single click of a button.
Then you can sit back and let compounding work its magic with your money.
But which ASX ETFs could be top options for a $500 investment? Two that are worth considering are listed below:
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
Warren Buffett is one of the world's most well-known investors.
The Oracle of Omaha has earned his reputation by delivering market beating returns over many decades.
The key to his success has been his preference of making long-term investments in companies with attractive valuations, strong business models, and competitive advantages.
With that in mind, if you would like to replicate this you could look at the VanEck Vectors Morningstar Wide Moat ETF. This ASX ETF is focused on buying the type of companies that you would expect to find in Buffett's portfolio.
Vanguard MSCI Index International Shares ETF (ASX: VGS)
Another ASX ETF for investors to look at for a $500 investment is the Vanguard MSCI Index International Shares ETF.
This ETF is very popular with Aussie investors and it isn't hard to see why.
Not only does it provide unparalleled diversification for a portfolio, but it gives investors access to 1,000+ of the world's biggest and best companies. Among the household names that you will be investing in with the ETF are global behemoths such as Amazon, Apple, Nestle, and Visa.
