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If you want to make some long term investments with your hard earned money but aren’t a fan of stock-picking, don’t worry. That’s because there is a solution.
The solution is exchange-traded funds (ETFs).
These funds allow investors to buy a large number of companies in one fell swoop. This can be an entire index, a whole country, a specific sector, or a group of shares with certain qualities or characteristics.
But which ASX ETFs could be great long term picks for investors today? Let’s take a look at three candidates:
BetaShares NASDAQ 100 ETF (ASX: NDQ)
If we’re talking long term, then you want to invest in the best. And the BetaShares NASDAQ 100 ETF is home to 100 of the best companies that the world has to offer.
These are the 100 largest non-financial shares on the famous NASDAQ index. The ETF is heavily focused on technology, with many of the best-known tech giants held by the fund. This includes those that provide the search engines, streaming services, mobile phones, spreadsheets, electric vehicles, and online shopping platforms we use daily.
Among its largest holdings are Apple (NASDAQ: AAPL) and Nvidia (NASDAQ: NVDA).
VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)
Another cracking long term option for investors could be the VanEck Vectors Morningstar Wide Moat ETF.
That’s because it has been designed to invest in the type of companies that legendary investor Warren Buffett would buy. And given how he built his wealth through buy and hold investing, this bodes well for investors buying this ASX ETF.
The VanEck Vectors Morningstar Wide Moat ETF focuses on investing in high quality companies with sustainable competitive advantages (wide moats) and fair valuations. The ETF has beaten the market over the last decade, so the strategy clearly has a lot of merit.
Betashares Global Cash Flow Kings ETF (ASX: CFLO)
A third ASX ETF to look at is the Betashares Global Cash Flow Kings ETF.
It provides investors with access to global companies with strong free cash flow. Betashares notes that the fund can 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.
The fund manager recently named it as one to consider buying when interest rates start to fall.
Among its holdings at present are Google parent Alphabet (NASDAQ: GOOG), payments giant Visa (NYSE: V), and cyber security leader Accenture (NYSE: ACN).