How to build a winning portfolio with just 3 ASX ETFs

It isn't as hard as you think to build a strong investment portfolio.

| More on:
A man and woman sit next to each other looking at each other and feeling excited and surprised after reading good news about their shares on a laptop.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Investing can sometimes feel complicated. With so many shares, funds, and strategies to choose from, it is easy to overthink things.

But building long-term wealth doesn't have to be complex.

In fact, with just three carefully chosen exchange-traded funds (ETFs), you could construct a portfolio that gives you global diversification, exposure to growth, and income potential — all in a simple, low-maintenance package.

Here's how it could look.

Vanguard Australian Shares Index ETF (ASX: VAS)

The Vanguard Australian Shares Index ETF provides investors with instant access to the 300 largest companies listed on the ASX. That includes household names like BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), and CSL Ltd (ASX: CSL).

By owning the Vanguard Australian Shares Index ETF, you're essentially holding a slice of the Australian economy — including resources, banking, healthcare, and consumer staples. For many investors, it is the ultimate set and forget way to capture the performance of the local market. It also provides a reasonably attractive dividend yield.

iShares S&P 500 ETF (ASX: IVV)

While Australia offers plenty of strong ASX shares, it is still a small market compared to the United States. That's where the iShares S&P 500 ETF comes in, giving investors exposure to the 500 largest US-listed stocks.

The fund includes world-leading businesses like Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and Amazon (NASDAQ: AMZN), as well as defensive names like Walmart (NYSE: WMT) and Coca-Cola (NYSE: KO). With this ASX ETF, you are not just investing in the US economy, but also in many companies that dominate globally.

Betashares Global Cybersecurity ETF (ASX: HACK)

For a thematic kicker, the Betashares Global Cybersecurity ETF provides targeted exposure to one of the fastest-growing industries in the world: cybersecurity. As businesses and governments grapple with rising digital threats, demand for cybersecurity services is surging.

The ASX ETF's portfolio includes leaders like Palo Alto Networks (NASDAQ: PANW), CrowdStrike (NASDAQ: CRWD), and Fortinet (NASDAQ: FTNT). These are companies that are front and centre in the fight against cybercrime. By adding the Betashares Global Cybersecurity ETF, investors get a concentrated dose of innovation in a sector with powerful long-term tailwinds.

Foolish takeaway

By combining the Vanguard Australian Shares Index ETF, iShares S&P 500 ETF, and Betashares Global Cybersecurity ETF, you cover your bases: the Australian market, the world's largest economy, and a high-growth global theme in cybersecurity.

Together, these three ASX ETFs could form the backbone of a winning portfolio that is simple, diversified, and built for the long term — proving that sometimes, less really is more.

Motley Fool contributor James Mickleboro has positions in CSL. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Amazon, Apple, BetaShares Global Cybersecurity ETF, CSL, CrowdStrike, Fortinet, Microsoft, Walmart, and iShares S&P 500 ETF. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Palo Alto Networks and has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has recommended Amazon, Apple, BHP Group, CSL, CrowdStrike, Microsoft, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ETFs

ETF with a rising arrow.
ETFs

2 excellent ASX ETFs I rate as buys in February

These could be two of the best funds to own for the long term.

Read more »

The letters ETF with a man pointing at it.
ETFs

2 ASX ETFs I'd buy amid the AI sell-off

These funds look like great buys today.

Read more »

Two workers working with a large copper coil in a factory.
ETFs

Meet the ASX ETF up 119% in a year

This ETF's investors have doubled their money in a year.

Read more »

Ecstatic woman looking at her phone outside with her fist pumped.
ETFs

3 ASX ETFs that delivered 43% to 73% last year

Gold, global banks, and semiconductors are the key themes of these ASX ETFs.

Read more »

Woman holding $50 notes with a delighted face.
ETFs

3 ASX ETFs for global growth and income

These funds offer income investors balanced global exposure.

Read more »

A young woman lifts her red glasses with one hand as she takes a closer look at news about interest rates rising and one expert's surprising recommendation as to which ASX shares to buy
ETFs

3 amazing ASX ETFs to buy before it's too late

Want to invest in exciting stocks? These funds provide an easy way to do it.

Read more »

Rising asx share price represented by woman with excited expression holding laptop
ETFs

3 ASX ETFs that returned 40% to 100% in 2025

Defence, mining, and the global energy transition are the key themes of these ASX ETFs.

Read more »

A young woman sits at her desk in deep contemplation with her hand to her chin while seriously considering information she is reading on her laptop.
ETFs

Why I would buy and hold these VanEck ETFs for a decade or more

When I invest for the long term, I want exposure to advantages and trends that can still matter a decade…

Read more »