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3 easy rules for building a massive ASX share portfolio

Building a massive portfolio of ASX shares from scratch is no easy feat. Creating real wealth through the share market takes time, dedication and discipline. But it can be done, nonetheless. One thing I’ve learned over time is that sometimes it’s simple rules executed consistently that can really give your returns a boost. So, with that in mind, here are 3 rules for building a massive ASX share portfolio.

1) Set aside money for regular investing

I often hear would-be investors say something like ‘I want to invest, but there’s never any money left over from my pay packet’. Our brains have a funny ability to work with the cash we think is available. Whether you have $100 or $500 sitting in your account, there’s a high chance it will be gone by the time your next pay cheque comes in.

That’s why setting aside your investing cash when you get paid is vital for building wealth with ASX shares. If you make this a habit every time you get paid, and invest the money regularly, your chances of building a massive ASX share portfolio will balloon.

2) Don’t just buy ASX blue chips

There’s nothing wrong with having an ASX portfolio consisting of the big 4 banks, Woolworths Group Ltd (ASX: WOW), Wesfarmers Ltd (ASX: WES) and Telstra Corporation Ltd (ASX: TLS). But these companies are likely to give you a nice stream of dividend income and little else over the coming years. If you really want to make your ASX share portfolio massive, you’ll need some help from your shares too.

That’s why I think investors in the ‘wealth accumulation’ phase should mix blue chips with at least some growth shares. Whether it’s Afterpay Ltd (ASX: APT), Altium Limited (ASX: ALU), Xero Limited (ASX: XRO), Polynovo Ltd (ASX: PNV) or any other growth share, you want to have at least some portion of your portfolio dedicated to companies that have long runways in front of them.

3) Don’t act with emotion

Keeping a cool head is one of the best ways you can outperform the S&P/ASX 200 Index (ASX: XJO) over time. Most investors who underperform the index do so because they make silly decisions based on what ‘the crowd’ is doing.

This might involve buying an overvalued company in the hope it will make you a quick buck, or otherwise selling a perfectly good company at a terrible price because the market is crashing. Both of these decisions are emotional and have no place in the creation of a massive ASX share portfolio. The best investors in the world buy businesses, not ticker symbols, and any ambitious disciple would do well to follow by example.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

*Returns as of June 30th

Sebastian Bowen owns shares of Telstra Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Xero. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO, Altium, Wesfarmers Limited, and Woolworths Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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