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

A fit man flexes his muscles, indicating a positive share price movement on the ASX market
ETFs

3 strong ASX ETFs to buy and hold for 10 years

There are good reasons why these funds could be top long term picks.

Read more »

A young female investor with brown curly hair and wearing a yellow top and glasses sits at her desk using her calculator to work out how much her ASX dividend shares will pay this year
ETFs

How to build wealth with ASX ETFs

These funds could help you build wealth over the long term.

Read more »

Australian dollar notes in the pocket of a man's jeans, symbolising dividends.
Dividend Investing

This ASX income ETF is trading on a 7% yield right now

You'd be hard pressed to find a stock that matches this yield...

Read more »

A man is shocked about the explosion happening out of his brain.
ETFs

These 2 ASX ETFs are booming as the silver and copper price smash new records

New all-time highs.

Read more »

A couple cheers as they sit on their lounge looking at their laptop and reading about the rising Redbubble share price
ETFs

Where to invest $10,000 in ASX ETFs for 2026

These funds offer investors exposure to exciting stocks from across the world.

Read more »

a person stands arms outstretched on the top of a mountain with a beautiful sunrise in the sky
ETFs

3 Australian ETFs to buy and hold forever

These ETFs might never go out of style.

Read more »

Excited couple celebrating success while looking at smartphone.
ETFs

3 stellar ASX ETFs for growth investors to buy in 2026

Looking to build wealth with ASX ETFs? Here are three to consider.

Read more »

ETF written in yellow with a yellow underline and the full word spelt out in white underneath.
ETFs

3 excellent ASX ETFs to buy with $3,000 in December

Got money to invest? These funds could be worth considering this month.

Read more »