If you have $5,000 to invest in the share market but aren't a fan of picking stocks, then exchange-traded funds (ETFs) could be worth considering.
That's because ETFs remove the need to pick stocks and instead give you a slice of a group of shares. In some cases this can be hundreds or even thousands of stocks in one fell swoop.
But which ASX ETFs could be quality options for a $5,000 investment in July? Let's take a look at three funds that could be quality additions to a portfolio. They are as follows:
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
Many investors see Warren Buffett as a role model when it comes to investing. And it isn't hard to see why. The Oracle of Omaha has beaten the market by a large margin over multiple decades.
This has been underpinned by Buffett's focus on buying companies with wide moats and fair valuations. Well, the good news is that the VanEck Vectors Morningstar Wide Moat ETF has been designed around this focus.
It focuses on investing in high quality companies with sustainable competitive advantages (wide moats) and fair valuations. And with this ASX ETF smashing the market over the last decade, this tried and tested strategy continues to deliver the goods for investors.
Betashares Global Cash Flow Kings ETF (ASX: CFLO)
Another ASX ETF that could be a good option for your hard-earned money is the Betashares Global Cash Flow Kings ETF.
Betashares highlights that this ETF could serve as a core exposure to global equities or alongside existing low-cost passive global ETFs to enhance a portfolio's emphasis on cash-generating companies. So much so, it has recently named it as one to consider buying when interest rates start to fall.
It focuses on global companies with strong free cash flow, which could be a very good thing. Betashares notes that companies that generate high levels of free cash flow historically have tended to outperform broad global equity benchmarks over the medium to long term.
Among its holdings are Google parent Alphabet (NASDAQ: GOOG), payments giant Visa (NYSE: V), and cyber security leader Accenture (NYSE: ACN).
Vanguard All-World ex-U.S. Shares Index ETF (ASX: VEU)
Finally, the Vanguard All-World ex-U.S. Shares Index ETF could be a good option for a $5,000 investment.
It offers investors access to a whopping ~3,500 companies listed in developed and emerging markets across the globe. However, as its name indicates, it excludes companies from the United States.
This means it could be a good complement to popular US-centric ETFs, if you already own them.
Among this ASX ETF's holdings are companies such as HSBC Holdings, LVMH Moet Hennessy Louis Vuitton, Samsung, and Taiwan Semiconductor.
