If Motley Fool investors don’t have a lot of cash on hand, that shouldn’t deter you from getting into the market. Even if you have $0 you can start look at a watchlist. And then, if you have even just $500, you can put it to good use by investing smart.
Right now, smart would be getting exposure to different markets around the world. So, I’m going to cover three stocks that provide you with global exposure and therefore gains in both the short and long term.
VXC First up, Vanguard FTSE Global All Cap ex Canada Index ETF (TSX:VXC) is a strong exchange-traded fund (ETF) to consider if Motley Fool investors want diversified, global exposure from stocks. It gives you exposure to everything expect Canada. And honestly, you’re likely to have exposure to Canada through so many other investments. So, it’s a good idea to broaden your horizons to provide more stability.
VXC currently holds 11,404 stocks as of writing, with a price-to-earnings ratio at just 15. It aims for return on equity of 15.3% and is just below that at 14.8%. You can pick up a 1.32% dividend yield as of writing as well, with shares down 19% as of writing year to date. Though shares are up 43% in the last five years alone.
Brookfield Renewable Brookfield Renewable Partners (TSX:BEP.UN)(NYSE:BEP) gives Motley Fool investors global exposure to renewable energy stocks. This area will see large growth in the years and decades to come thanks to private and federal investment. It owns assets around the world and is currently in negotiations with European countries making a large transition.
Brookfield offers a dividend of 3.72% as of writing and trades with a debt-to-equity (D/E) ratio of just 0.94. So even with supply and interest rate demands on the company, it’s set up to cover losses, even should a recession hit. But long term, it’s a steal for those wanting global exposure to the renewable energy stocks.
ZWU Another industry seeing a lot of investment is utilities, which is why I’d also recommend BMO (TSX:BMO) Covered Call Utilities ETF (TSX:ZWU). This ETF uses a combination of covered call and strong utilities investment to create solid gains for its investors. Utilities are a stable investment that will produce no matter what the market does — especially as the world transitions to renewable energy and less gas.
ZWU also offers a 7.52% dividend yield as of writing, all while shares are down thanks to the recent market pullback. So, this gives Motley Fool investors an amazing opportunity to pick up the ETF and its stock, which is down 4.5% year to date. And it’s still heading back to the highs it saw before the March 2020 crash, giving you the opportunity for stellar growth in the years to come. This also gives you exposure to both the United States and Canada, providing you now with a portfolio that includes the entire world.
The post Got $500? Invest in Safety and Buy These 3 Stocks today appeared first on The Motley Fool Canada.
Fool contributor Amy Legate-Wolfe has positions in Brookfield Renewable Partners. The Motley Fool has positions in any of the stocks mentioned. 2022