I love investing in ASX shares for the long-term because of how much the power of compounding can help the value increase over time.
I'd prefer to invest in businesses that are likely to deliver good long-term growth in that time, rather than just investing in anything and holding for a long time for the sake of it.
So, which ASX shares would be a good fit for this investment strategy to own for the long-term? I think the two names below really tick the box.
Tuas Ltd (ASX: TUA)
Tuas is one of my favourite ASX growth shares right now, due to the rapid growth in Singapore and how much more it could grow in the coming years.
The company said its active mobile services increased by 23.7% to 1.16 million in the FY25 first-half result, helping revenue rise by 33.8% to $73.2 million.
Tuas recently announced it's acquiring M1, a Singaporean digital network operator that provides a range of communication services to both retail and enterprise customers. Its revenue largely comes from mobile services, fixed services and handset and equipment sales.
This deal will significantly increase the ASX share's prepaid mobile market share (from 1.5% to 15%) and broadband market share (from 0.9% to $15.9%). Tuas' postpaid mobile market share is expected to increase to 38.3%, up from 14.4%.
The enlarged business will help improve profitability, enhance its network scale, capacity, and coverage, improve operational efficiency and add to its spectrum assets, among other benefits.
I think the ASX share's profit margins can increase further thanks to the scale benefits, and I'm also hopeful that it can successfully expand in other nearby countries like Malaysia and Indonesia.
VanEck Morningstar Wide Moat AUD ETF (ASX: MOAT)
The other long-term investment I want to highlight is this exchange-traded fund (ETF).
This fund doesn't follow a typical index like the S&P/ASX 300 Index (ASX: XKO). Instead, it looks for undervalued US shares that have strong competitive advantages that are expected to endure for a long time. I think that's a very effective investment strategy.
Investment analysts from Morningstar look for businesses with competitive advantages like cost advantages, network effects, intellectual property and so on, where they expect that the economic moat will almost certainly help the company generate outsized profits for the next decade and more likely than not last for the next two decades.
Plus, the fund – which I'm calling an ASX share because we can buy it on the ASX – only invests in these competitively advantaged companies when they are trading at a good value compared to what the Morningstar analysts think they're worth.
In the ten years to July 2025, this ASX ETF produced an average of 14.8% per year, showing the capabilities of the investment strategy.
