I think these ASX shares have an incredible outlook for the long-term, amid all of the uncertainty right now.
I believe long-term investing is the way to go, though it’s harder to know what could make a great long-term investment these days. That’s why I like the following ASX share ideas.
VanEck Morningstar Wide Moat ETF (ASX: MOAT)
An exchange-traded fund (ETF) with an ability to shift its portfolio could be very appealing.
The MOAT ETF invests in a portfolio of US-listed shares where Morningstar analysts believe those companies have sustainable competitive advantages (a wide economic moat) can allow them to generate good profits for many years to come.
This fund only considers businesses where the economic moat is expected to endure for many years, making this fund itself an appealing buy to own for the long-term.
Four sectors have a double-digit allocation at the moment – healthcare, consumer staples, industrials and IT. I think it ticks the box for diversification very nicely.
The other element of the strategy is that it only invests when it thinks these good businesses are trading at attractive prices. In my view, that makes good performance more likely.
With a portfolio of good value, high-quality businesses, I’m optimistic for the MOAT ETF’s future returns.
Sigma Healthcare Ltd (ASX: SIG)
Sigma Healthcare is the ASX share that’s best known for owning the Chemist Warehouse, Amcal and Discount Drug Stores brands. Healthcare is a very defensive industry and has ageing and growing population tailwinds.
At the time of writing, the Sigma Healthcare share price is down 7% as it was confirmed the business is considering bidding for the UK Boots business.
While I’m not sure if this possible deal will go ahead, the company is suddenly a lot cheaper and better value. The core Chemist Warehouse business is growing strongly, with both impressive double-digit like-for-like growth at the existing store network and steady growth of more stores
Additionally, the business continues to expand its Australian store network, as well as its New Zealand presence and growing sales in its other international markets (namely Ireland, China and UAE).
The business had already announced the start of expansion into the UK, which could be another attractive growth market for Sigma, even if the Boots deal doesn’t go ahead.
With the ASX share delivering rising profit margins, I think it could be one of the ASX growth shares to watch.
