Global stock markets including the US-listed S&P 500 Index (SP: .INX) and Australia's S&P/ASX 200 Index (ASX: XJO) have hit record highs in recent months. 

For a new investor, it might feel daunting to dip your toe in the investing waters, especially if you are worried about buying at the top. 

But it's important to zoom out and focus on the long-term investing approach of 'time in the market' rather than 'timing the market'. 

To illustrate this point, the S&P 500 closed at an 'all-time high' more than 55 times in 2024.

If a first-time investor had been hesitant at the beginning of 2024 when the market hit an all-time high and decided to try and wait for the dip, they would have missed out on the 28% growth it had over the next 12 months. 

Exchange-traded funds (ETFs)

One way investors can gain exposure to these global markets is by buying ASX exchange-traded funds (ETFs).

ETFs are a collection of securities that can include shares, bonds, commodities, and currencies. 

They are a popular investment because you get access to hundreds or thousands of companies with one trade. 

This can help diversify your portfolio. Rather than trying to select an individual company, invest in a proven basket of holdings. 

Additionally, if one company holding has a down period, it can be propped up by others that are performing well, helping to make your portfolio more resilient.

Here's how two global funds have performed over the last five years. 

iShares International Equity ETFs – iShares Global 100 ETF (ASX: IOO)

This ETF tracks the performance of an index comprising 100 multinational, blue-chip companies of major importance in global equity markets. 

It has significant exposure to the US technology sector with holdings in companies such as Apple Inc, Nvidia and Microsoft Corporation. 

The fund has climbed more than 93% over the last five years and is currently trading at $163.25 per share. 

Five years ago, the ETF 100 was trading at $84.10 apiece, so a $5,000 investment would have bought 59 shares with some change left over. Those units are now worth around $9,632. 

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another global ASX ETF that would have provided strong returns over the last five years is VGS. 

This fund offers exposure to more than 1,500 global companies (excluding Australia), which could make it ideal for an investor looking to move away from an Australian-only portfolio. 

It includes companies from around 23 different countries, including the United States, Japan, the United Kingdom, Canada, France, and Switzerland.

It has the same largest three holdings as IOO, however a much lower percentage of the total portfolio. 

The fund has increased more than 63% over the last five years and is now trading at $143.42 apiece.

This means a $5,000 investment in the VGS ETF five years ago would now be worth around $8,196. 

It's important to note these calculations do not account for factors like dividends or reinvestment plans. 

Furthermore, both scenarios cover the 2020 COVID-19 period, during which these ASX ETFs fell considerably. This reinforces the notion of 'time in the market' rather than 'timing the market'.