Not everyone wants to track the market daily or trade frequently. Some investors prefer a simple, set and forget strategy — investing once a year, then letting compounding do the heavy lifting.
For that kind of approach, exchange-traded funds (ETFs) are ideal.
But which ones? Here are three of the best ASX ETFs for long-term investors who want to keep things simple.
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Vanguard MSCI Index International Shares ETF (ASX: VGS)
The Vanguard MSCI Index International Shares ETF provides exposure to more than 1,200 stocks from developed markets outside Australia. That means instant diversification across regions like the U.S., Europe, and Japan.
Its holdings include big names such as Apple (NASDAQ: AAPL), Walt Disney (NYSE: DIS), Microsoft (NASDAQ: MSFT), and SAP SE (ETR: SAP), giving investors access to world-leading stocks across technology, consumer staples, and entertainment. For Australians who already have plenty of exposure to local banks and miners, the Vanguard MSCI Index International Shares ETF is a great way to spread risk globally with a single click of the button.
Betashares Australian Quality ETF (ASX: AQLT)
Another ASX ETF to consider is the Betashares Australian Quality ETF. It is a smart way to focus your local investments on the highest-quality stocks. The Betashares Australian Quality ETF tracks an index of around 40 ASX shares selected for high profitability, strong balance sheets, and stable earnings.
Holdings include names like CSL Ltd (ASX: CSL), Macquarie Group Ltd (ASX: MQG), and Cochlear Ltd (ASX: COH). These shares are leaders in their fields and have demonstrated the ability to grow consistently. For investors who only want to check in once a year, owning a curated basket of quality Aussie shares removes a lot of the guesswork. It was recently named as one to buy by the team at Betashares.
iShares S&P 500 ETF (ASX: IVV)
Finally, the iShares S&P 500 ETF is an obvious choice. It gives investors exposure to the 500 largest stocks listed in the U.S. This makes it one of the simplest ways to invest in the world's biggest and most dynamic market.
With names like Alphabet (NASDAQ: GOOGL), Amazon (NASDAQ: AMZN), and Nvidia (NASDAQ: NVDA) in the mix, the iShares S&P 500 ETF captures some of the biggest drivers of global innovation. Over the long term, the S&P 500 has been one of the most consistent wealth creators in history, making this ETF a cornerstone for any long-term portfolio.
