3 of the best ASX retirement shares to buy

Let's find out why these shares could be top picks for retirees.

| More on:
Smiling elderly couple looking at their superannuation account, symbolising retirement.

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

Building a retirement portfolio is less about chasing the next big winner and more about reducing the chances of unpleasant surprises.

For many investors, that means prioritising companies with dependable cash flows, clear demand for their services, and business models that can keep functioning even when economic conditions are less friendly.

Income matters, but so does durability. A good retirement share is one you feel comfortable holding through market cycles without needing to constantly reassess the story.

With that in mind, here are three ASX shares that stand out as sensible options for a long-term retirement-focused portfolio.

APA Group (ASX: APA)

APA Group is the type of business that will never grab headlines. It owns and operates critical energy infrastructure across Australia, including gas pipelines, storage facilities, and electricity assets. These are long-life assets that are essential to keeping the economy running, regardless of short-term economic conditions.

What makes APA particularly suitable for a retirement portfolio is the visibility of its cash flows. Much of its revenue is underpinned by long-term contracts, which helps smooth earnings and support regular distributions. At the same time, APA continues to invest in energy transition opportunities, ensuring its asset base remains relevant as the energy mix evolves.

That combination of essential infrastructure and predictable income can be very attractive for retirees.

HomeCo Daily Needs REIT (ASX: HDN)

Another ASX retirement share to consider is the HomeCo Daily Needs REIT.

It owns large-format retail assets that are leased to tenants such as supermarkets, hardware stores, and other non-discretionary retailers. These businesses tend to remain busy even when households tighten their belts, which helps support stable rental income. Its largest tenants are Coles Group Ltd (ASX: COL), Wesfarmers Ltd (ASX: WES), and our next pick listed below.

HomeCo Daily Needs REIT's properties are typically leased on long-term agreements, often with built-in rent increases. That provides a level of income predictability that many retirement investors value, while also offering some protection against rising costs over time.

Rather than relying on discretionary spending, it is tied to everyday activity, which arguably makes it a natural fit for an income-focused portfolio.

Woolworths Group Ltd (ASX: WOW)

As one of Australia's dominant supermarket operators, the company sits at the centre of household spending. People continue to buy groceries in good times and bad, which supports steady revenue and cash generation.

What is sometimes overlooked is how Woolworths continues to refine its operations. Incremental improvements in pricing, range, and efficiency help protect margins over time, even in a competitive environment. This steady execution supports dividends that retirement investors can rely on.

Overall, this could arguably make Woolworths one of the best ASX retirement shares for Aussie investors in 2026.

Motley Fool contributor James Mickleboro has positions in Woolworths Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has positions in and has recommended Apa Group and Woolworths Group. The Motley Fool Australia has recommended HomeCo Daily Needs REIT and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Retirement

A happy couple looking at an iPad.
Retirement

5 fantastic ASX shares to buy for an SMSF

These shares could be suitable for a self-managed super fund. Let's find out why.

Read more »

Australian notes and coins surrounded by a calculator and the word super spelt out.
Retirement

Can you afford to retire in 2026? Find out in 2 minutes

Before you decide to retire in 2026, take two minutes to pressure-test your finances the smart way.

Read more »

a pot of gold at the end of a rainbow
Superannuation

Here are the 3 ASX ETFs I use for my super fund

I like to keep my super simple.

Read more »

Woman at home saving money in a piggybank and smiling.
Retirement

How to build a million-dollar SMSF if you start investing in 2026

Building a million-dollar SMSF is not about perfect timing.

Read more »

An older couple dance in their living room as they enjoy their retirement funded by ASX dividends
Retirement

My simple 5-share ASX retirement portfolio

A simple ASX retirement portfolio built for income, diversification, and long-term stability without unnecessary complexity.

Read more »

A man in his late 60s, retirement age, emerges from the Australian surf carrying a surfboard under his arm and wearing a wetsuit.
Superannuation

Why superannuation tied only to property and cash could fail retirees

Superannuation built only on property and cash may struggle.

Read more »

Two elderly people smiling with their fists pumping and with a cape on.
Dividend Investing

The perfect retirement stock with a 4.4% payout each month

4.4% that pays out monthly? Yes please.

Read more »

Two mature-age people, a man and a woman, jump in unison with their arms and legs outstretched on a sunny beach.
Retirement

Top retirement shares for Australian investors to buy now

These stocks are some of the most reliable income payers on the ASX...

Read more »