When it comes to long-term investing, the secret is simple: own great assets and give them time to grow.
That's why if you're looking to build wealth over the next decade, you could do a lot worse than focusing on a few high-quality ASX exchange traded funds (ETFs) that give you access to market-leading companies.
With that in mind, here are three ASX ETFs that could be quality picks to buy and hold for the next 10 years. They are as follows:
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VanEck Morningstar Wide Moat ETF (ASX: MOAT)
If you've ever wondered how Warren Buffett made his fortune, it is quite simple. He buys fairly valued businesses with wide economic moats — companies that have a sustainable competitive advantage, pricing power, and strong brand recognition.
That's exactly what VanEck Morningstar Wide Moat ETF does. It tracks a portfolio of US companies that have long-term competitive advantages. Think names like Boeing (NYSE: BA), Pfizer (NYSE: PFE), and Walt Disney (NYSE: DIS). These are companies that dominate their industries and are built to last.
Given Buffett's success over multiple decades, it certainly could pay to invest in this style.
iShares S&P 500 ETF (ASX: IVV)
Another ASX ETF that could be a great buy and hold option is the iShares S&P 500 ETF.
If you want to invest in the world's biggest and most influential companies, this fund is a no-brainer. It tracks the S&P 500 index, giving you exposure to giants like Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and Nvidia (NASDAQ: NVDA).
The US market has been a long-term wealth engine, and the S&P 500 has delivered an average return of around 10% per year over the long term. And while there's no guarantee that this strong form will continue over the next decade, given the quality on offer on Wall Street, I wouldn't bet against it.
Betashares Australian Quality ETF (ASX: AQLT)
Finally, while global exposure is important, let's not forget the high-quality businesses here at home.
That's where the Betashares Australian Quality ETF comes in. This ASX ETF focuses on high-quality Australian companies that have strong balance sheets, consistent earnings, and sustainable competitive advantages. These are the kind of businesses that can deliver through economic cycles.
The fund includes quality ASX shares across sectors like healthcare, consumer staples, and financials. At present, this includes telco giant Telstra Group Ltd (ASX: TLS), Kmart and Bunnings owner Wesfarmers Ltd (ASX: WES), and health imaging technology company Pro Medicus Ltd (ASX: PME). It was recently named as a buy by the team Betashares.
