ASX blue-chip shares can be some of the safest and most reliable investments on the ASX thanks to their market position, brand power and scale.
The businesses I'm going to talk about can provide the stability that investors are after.
I'm also expecting both of the following ASX blue-chip shares to provide investors with good passive income in FY26 and beyond.
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WAM Leaders Ltd (ASX: WLE)
WAM Leaders is a listed investment company (LIC) that targets large businesses to generate investment returns for the portfolio. It aims to actively invest in the highest-quality Australian companies.
So, instead of just being one ASX blue-chip share, it owns a portfolio of shares.
Some of the businesses that it owns a larger position in compared to the ASX share market's position sizing include Rio Tinto Ltd (ASX: RIO), Fortescue Ltd (ASX: FMG), Alcoa Corporation (ASX: AAI), James Hardie Industries plc (ASX: JHX) and Medibank Private Ltd (ASX: MPL).
As a company, the board of directors can declare the size of the dividend they want to pay, as long as there is a profit reserve to support the payout. WAM Leaders' portfolio has delivered an average return of 12.1% per year since inception in May 2016 (before fees, expenses and taxes), outperforming its ASX share benchmark by close to an average of 3% per year, which is an impressive record, in my view.
At 31 December 2025, the LIC had built up its profit reserve to 27.4 cents per share, which is enough to pay a dividend close to three years at the size of the FY25 payout. It has increased its annual dividend every year between FY17 and FY25, which is a pleasing record of consistency.
Its FY25 annual dividend translates into a grossed-up dividend yield of approximately 10%, including franking credits. I'm optimistic about slight dividend increases in the coming years.
Transurban Group (ASX: TCL)
Transurban is one of the largest toll road businesses in the world, with roads in Sydney, Melbourne, Brisbane and North America.
Growing populations in cities are a good tailwind for Transurban's ASX blue-chip share, increasing average daily traffic (ADT) on its roads. In the first quarter of FY26, group ADT rose 2.7% year-over-year, with Sydney ADT up 1.7%, Melbourne ADT up 3.2% year-over-year, Brisbane ADT up 2.6% and North America ADT up 6.8%.
Additionally, the business occasionally completes a new road (such as WestConnex or the West Gate Tunnel project) that can increase its potential to serve traffic and increase the volume of tolls.
The business is also benefiting from rising tolls over time, which is a promising outlook for revenue and earnings growth. The ASX blue-chip share is planning to increase its distribution per security by 6% in FY26 to 69 cents. That translates into a forward distribution yield of approximately 5%.
