5 FTSE 100 shares I’d buy with £5,000

first_img5 FTSE 100 shares I’d buy with £5,000 Access this special “Green Industrial Revolution” presentation now Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. The FTSE 100 is the index of leading large companies listed on the London stock market. These shares have the biggest market capitalisations, although that doesn’t necessarily make them better. However, I do like that many FTSE 100 shares have a long trading record, which can improve my confidence in their business competence.If I had £5,000 to invest today, I’d consider putting it in the five FTSE 100 shares below. To reduce my risk by diversifying, I’d put £1,000 in each of the shares.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…D S SmithI see long-term growth potential in the paper and packaging industry. D S Smith could be a beneficiary of that.Online shopping has been a boon for packaging suppliers. The company’s focus on European and North American markets enables it to capture premium pricing opportunities. It has a proven ability to grow earnings, last year reporting £455m at the operating profit level.But one risk is the compliance costs of an increasing tide of environmental rules. That could reduce profits.TescoTesco is the leading British supermarket chain. It has slimmed down its operations, selling its Asian business to focus more on core markets in the UK and Eastern Europe. Given how competitive the UK retail landscape has become, I think that should be positive for these FTSE 100 shares.With a 4.3% yield, I like Tesco for its income potential in my portfolio. But one risk is less profitable online sales eating into profit margins as they displace in-store shopping.Asian exposureFinancial services group Prudential has been reshaping itself too in recent years – but in the opposite direction to Tesco. It spun out its M&G business in the UK. ‘The Man from the Pru’ is now mostly focused on customers in developing markets, particularly Asia.The company has a strong presence there. It is using digital technology to cut customer acquisition costs in countries like Indonesia and Vietnam. I see strong growth potential for these FTSE 100 shares exposed to fast-growing markets. Yet a risk is the opaque regulatory environment of some of Prudential’s target markets. That could lead to a fall in profits should the company’s growth unnerve local  competitors and regulators.FTSE 100 shares for incomeA high-yield choice within my £5,000 allocation would be British American Tobacco. The owner of brands such as Lucky Strikes is a global heavyweight. That business spread makes it less vulnerable to localised swings in consumption patterns. Its dividend yield of 7.4% is attractive and it has raised its payout each year this century.BAT generates huge cash flows. That is why it can support the dividend. However, with around £40bn of debt on its balance sheet, a risk is that debt repayment could be prioritised over dividends in future. Competitor Imperial Brands slashed its dividend last year.DiageoDrinks manufacturer Diageo is another company on my list of FTSE 100 shares that has raised its dividend annually for decades.I also like the company’s growth potential. With a carefully curated portfolio of premium brands such as Johnnie Walker and Smirnoff, I think it is well-positioned to respond to shifting tastes in the drinks market. Its premium focus enables it to achieve high profit margins.But alcohol consumption is falling among younger consumers, so this is a potential setback I need to keep an eye one. Enter Your Email Address Simply click below to discover how you can take advantage of this. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Our 6 ‘Best Buys Now’ Sharescenter_img Christopher Ruane owns shares in British American Tobacco and Imperial Brands. The Motley Fool UK has recommended British American Tobacco, DS Smith, Diageo, Imperial Brands, Prudential, and Tesco. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Christopher Ruane | Thursday, 17th June, 2021 It was released in November 2020, and make no mistake:It’s happening.The UK Government’s 10-point plan for a new “Green Industrial Revolution.”PriceWaterhouse Coopers believes this trend will cost £400billion……That’s just here in Britain over the next 10 years.Worldwide, the Green Industrial Revolution could be worth TRILLIONS.It’s why I’m urging all investors to read this special presentation carefully, and learn how you can uncover the 5 companies that we believe are poised to profit from this gargantuan trend ahead! Our 5 Top Shares for the New “Green Industrial Revolution” See all posts by Christopher Ruane Image source: Getty Images. last_img

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