There are a lot of exchange traded funds (ETFs) to choose from on the Australian share market.
To narrow things down, let's take a look at five ASX ETFs that could be quality picks for investors with $5,000 to invest. They are as follows:
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Betashares Global Quality Leaders ETF (ASX: QLTY)
The first ASX ETF to look at is the Betashares Global Quality Leaders ETF. When you are making investments, it is never a bad idea to buy the highest quality companies you can get your hands on. Betashares has made things easy for investors by bundling together approximately 150 shares from across the globe that are judged to be the highest quality out there based on certain metrics. Betashares' chief economist, David Bassanese, named the ETF as one to buy.
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
A second ASX ETF for investors with $5,000 to invest is the VanEck Vectors Morningstar Wide Moat ETF. This popular fund operates a portfolio filled with the type of companies that Warren Buffett would buy for Berkshire Hathaway (NYSE: BRK.B). These are companies with fair valuations and wide moats (sustainable competitive advantages). Given the success Buffett has had with this strategy for decades with Berkshire Hathaway, it could pay to follow his investment style.
BetaShares Diversified All Growth ETF (ASX: DHHF)
If you are a fan of growth shares, then the BetaShares Diversified All Growth ETF could be a great ASX ETF to buy. It provides investors with easy access to ~8,000 large, mid, and small cap stocks from across the globe. BetaShares recently named it as one to buy. It believes the fund has high growth potential, which could make it suitable for investors with a higher tolerance for risk.
BetaShares Cloud Computing ETF (ASX: CLDD)
A fourth ASX ETF that could be a good option for investors is the BetaShares Cloud Computing ETF. Betashares, which also recently tipped this ETF as one to buy, notes that "cloud computing has been one of the strongest-growing segments of the technology sector, and given much of the world's digital data and software applications are still maintained outside the cloud, continued strong growth has been forecast."
BetaShares Global Cybersecurity ETF (ASX: HACK)
Finally, the BetaShares Global Cybersecurity ETF could be a great option for a $5,000 investment. This fund provides investors with access to the leading players in the global cybersecurity industry. Betashares highlights that "an estimate of the total addressable market by McKinsey suggests that the cybersecurity market is $1.5-$2.0 trillion globally, and at best only 10% penetrated with a very long runway for growth." This bodes well for the cybersecurity stocks held by the fund.
