3 ASX ETFs to buy and hold for 25 years

There are good reasons why it could be worth holding tightly to these funds for the long term.

| More on:

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

Thinking in 25-year timeframes changes how you invest. Short-term noise fades into irrelevance, while strong business models, structural growth, and competitive advantages start to matter far more.

Exchange traded funds (ETFs) can be particularly powerful over these horizons, because they let investors benefit from long-term trends without needing to constantly adjust their portfolio as individual winners and losers change.

With that mindset, here are three ASX ETFs that could be well suited to a true buy-and-hold approach measured in decades rather than years.

A man points at a paper as he holds an alarm clock, indicating the ex-dividend date is approaching.

Image source: Getty Images

iShares S&P 500 AUD ETF (ASX: IVV)

The first ASX ETF to consider for a 25-year horizon is the iShares S&P 500 AUD ETF.

It tracks the S&P 500 Index, which represents the largest and most influential companies in the United States. What makes this fund particularly attractive over long periods is its ability to evolve. Companies that lose relevance are removed, while new leaders are added as the economy changes. That adaptability could make it a compelling long-term core holding.

Current holdings include businesses such as Microsoft (NASDAQ: MSFT), Apple (NASDAQ: AAPL), and NVIDIA (NASDAQ: NVDA). These companies sit at the centre of global innovation, capital markets, and technology investment.

VanEck China New Economy ETF (ASX: CNEW)

Another ASX ETF that could reward patient investors is the VanEck China New Economy ETF.

It focuses on China's new economy, targeting companies involved in areas such as technology, healthcare, advanced manufacturing, and domestic consumption.

The ETF holds a wide range of emerging leaders, including businesses such as Intsig Information and Shennan Circuits. Many of these companies are still early in their growth journeys and benefit from rising incomes, innovation, and domestic demand.

China's market can be volatile, but over a 25-year period, exposure to a transforming economy could prove valuable for investors willing to tolerate short-term uncertainty. It was recently recommended by VanEck.

VanEck Morningstar International Wide Moat ETF (ASX: GOAT)

A final ASX ETF to consider for long-term investors is the VanEck Morningstar International Wide Moat ETF.

This fund provides exposure to a concentrated portfolio of international companies that have sustainable competitive advantages, or wide economic moats, that can endure for 20 years or more.

Importantly, the ETF also applies a valuation discipline, targeting companies trading below the estimate of fair value.

Holdings include businesses such as Roche Holding (SWX: ROG), GSK (LSE: GSK), and Constellation Brands (NYSE: STZ). These are established global companies with strong brands, intellectual property, or regulatory advantages that make them difficult to displace. The fund manager also recently recommended this ETF.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, Microsoft, Nvidia, and iShares S&P 500 ETF. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Constellation Brands, GSK, and Roche Holding AG. The Motley Fool Australia has recommended Apple, Microsoft, Nvidia, 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 young well-dressed couple at a luxury resort celebrate successful life choices.
ETFs

Why I think these Vanguard ETFs could outperform the ASX 200

The ASX 200 has delivered solid returns, but I wouldn’t limit a long-term portfolio to Australian shares.

Read more »

Four businessmen pull martial arts stances as they get into a defensive position.
ETFs

3 defensive ASX ETFs to battle through market turmoil

One strategy to protect your portfolio.

Read more »

A banker uses his hands to protect a pile of coins on his desk, indicating a possible inflation hedge.
ETFs

These 3 ASX ETFs can protect your portfolio against inflation

With inflation on the rise, investors should think about protecting their assets.

Read more »

Businessman working on street in New York. Dressing in blue suit, a young guy with beard, sitting outside office building, looking down, reading, typing on laptop computer.
ETFs

Why now could be the best time in years to buy NDQ and these ETFs

These ETFs have been sold-off recently. Let's see why that could be a buying opportunity.

Read more »

Three smiling corporate people examine a model of a new building complex.
ETFs

The best ASX ETFs to buy for building wealth in 2026 and beyond

Wanting to build wealth? These funds could help you on your journey.

Read more »

A man in his office leans back in his chair with his hands behind his head looking out his window at the city, sitting back and relaxed, confident in his ASX share investments for the long term.
ETFs

Look long-term with these 3 ASX ETFs

These can be set and forget funds for your portfolio.

Read more »

man sitting in hammock on beach representing asx shares to buy for retirement
ETFs

Just 3 ASX ETFs could build a lazy Australian millionaire portfolio

Diversified ETF investments have also proven to be very resilient in turbulent markets.

Read more »

ETF in blue with person's hand in the direction of green and red bars on graph.
ETFs

How these 2 ASX ETFs benefit from Chinese innovation: Expert

These two funds could be worth adding to your portfolio.

Read more »