Do you run one of Australia's estimated 600,000+ self-managed superannuation funds (SMSF) and want to make some new additions in January?
If you've said yes to both, then it could be worth considering the ASX exchange-traded funds (ETFs) named in this article.
Here's why these ETFs could be great buy and hold options for superannuation investors:
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Betashares Global Cash Flow Kings ETF (ASX: CFLO)
The first ASX ETF to look at for a superannuation fund is the Betashares Global Cash Flow Kings ETF.
This fund is home to 200 global companies that demonstrate strong free cash flow generation.
It has been tipped as one to look at by the team at Betashares. The fund manager points out that companies that generate high levels of free cash flow have a tendency to outperform the market over the medium to long term. That's definitely what you want from a holding in superannuation fund!
Among its holdings at present are tech giant Alphabet (NASDAQ: GOOG), multinational consumer goods company Procter & Gamble Co (NYSE: PG), and payments behemoth Visa (NYSE: V).
iShares S&P 500 ETF (ASX: IVV)
Another top option for a superannuation fund could be the iShares S&P 500 ETF.
This fund is home to 500 of the largest companies on Wall Street. These are from all corners of the share market, which means you get exposure to sectors including tech, consumer staples, healthcare, and mining.
The fund manager, iShares, notes that investors can "use [the ETF] to diversify internationally and seek long-term growth opportunities in your portfolio."
Among its holdings are household names such as Apple (NASDAQ: AAPL), Exxon Mobil (NYSE: XOM), McDonald's (NYSE: MCD), Microsoft (NASDAQ: MSFT), Nvidia (NASDAQ: NVDA), Starbucks (NASDAQ: SBUX), Walmart (NYSE: WMT), and Walt Disney Co (NYSE: DIS).
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
A third and final ASX ETF to consider for a superannuation fund is the VanEck Vectors Morningstar Wide Moat ETF.
This popular fund is focused on investing in companies that have sustainable competitive advantages and fair valuations.
This has been a very successful focus for investors in the past, with the VanEck Vectors Morningstar Wide Moat ETF outperforming the Australian share market on one year, five-year, and 10-year timeframes.
This shouldn't come as a surprise, though. That's because the focus on competitive advantages and fair valuations is something that Warren Buffett looks for when making investments. And given his track record over multiple decades, it is fair to say that this focus seems to work.
Its current holdings include Alphabet, Walt Disney, and Boeing Co (NYSE: BA).
