Australian investors who manage their retirement or retirement planning using a self-managed superannuation fund (SMSF) tend to focus on two asset classes – ASX shares and property.
That's understandable. After all, property investing is the great Australian obsession. And the franking credits that ASX shares pay out are particularly lucrative for retirees and anyone who has their superannuation fund in pension phase.
However, I think it is a mistake for anyone with an SMSF to ignore what is on offer over on the US stock market.
The United States houses some of, if not most of, the best companies in the world. Having a slice of that action working towards your retirement can only be a good thing. At least in my view. So today, let's talk about five US stocks that I think anyone with an SMSF needs in their portfolios.
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5 US stocks to consider for an SMSF
Alphabet Inc (NASDAQ: GOOG)(NASDAQ: GOOGL)
First up, we have the Google-owner Alphabet. Everyone knows the dominance of the Google Search engine, one of the most popular tools on the internet. This simple gateway underpins this company's globally-dominant advertising business, and underpins many of Alphabet's other products, including Google Maps and the Chrome browser.
Alphabet's investment in artificial intelligence (AI), including through its popular Gemini platform, is, in my view, setting the company up well for continued dominance.
Mastercard Inc (NYSE: MA)
Mastercard is another well-known name that I think will be a valuable addition to any SMSF. As almost all Australians would know, the world is transitioning away from cash payments and towards electronic funds transfers.
Mastercard is a direct beneficiary of this, with its shares delivering breakneck returns for years now. With many emerging markets still in the infancy of this trend, I think Mastercard is poised to enjoy several decades of strong growth.
Microsoft Corporation (NASDAQ: MSFT)
Back to another member of the 'Magnificent 7' now, Microsoft is another company that I think is primed for continued success. This technology giant's strength comes from its diversity.
For one, its popular Windows and Office platforms continue to see enduring success. But Microsoft is also emerging as an AI leader thanks to Copilot. Additionally, it is also a gaming heavyweight, thanks to its Xbox line and recent acquisition of Activision-Blizzard. In my view, Microsoft is an educated bet on the future, and worthy of a place in any SMSF.
Procter & Gamble Inc (NYSE: PG)
Turning to a slightly more 'boring' company, at least in the eyes of many, we have consumer staples titan Procter & Gamble. This stock is the name behind many famous household brands. These include Pantene, Old Spice, Gillette, Oral-B and Fairy.
The beauty of these products is that people tend to buy them in all economic conditions. That makes Procter & Gamble a very defensive US stock for an SMSF. Given that defensiveness is a trait valued by many retirees, this company is arguably a perfect fit for their retirement funds.
McDonald's Corporation (NYSE: MCD)
We could make a very similar argument for our final SMSF stock – the world-famous McDonald's. McDonald's has been a pioneer and market leader in fast food ever since its inception in the 1950s.
Today, it is one of the most recognised brands on the planet and owns what could arguably be described as the world's best property portfolio. Despite its relatively long history, this company continues to innovate and attract legions of customers, who tend to flock through the Golden Arches regardless of what the overall economy is doing.
