With markets swinging significantly over the past week, it can be a challenge not to overreact.
At the time of writing, the S&P/ASX 200 Index (ASX: XJO) is down 5% and the S&P 500 Index (SP: .INX) is down nearly 2% just since the beginning of March.
Watching your portfolio plummet can induce panic.
However it's at times like these investors need to remain focussed on the long-term.
Research from Betashares reinforced the importance of this discipline.
Hans Lee, Senior Finance Writer at BetaShares said price swings and permanent losses are not the same thing.
What often separates the two is whether an individual stayed invested long enough for the market to do its job.
During the Liberation Day sell-down, a hypothetical investor who sold right at the top and reinvested just 3 months later would have underperformed an investor who 'rode out' the crash without selling by more than 8% in less than a year.
In other words, remaining invested would have resulted in better returns.
For those investors focussed on holding through the volatility, here are three ASX ETFs that have risen steadily over the long term.
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BetaShares Australia 200 ETF (ASX: A200)
Put simply, this ASX ETF aims to track the performance of an index (before fees and expenses) comprising 200 of the largest companies by market capitalisation listed on the ASX.
The fund includes blue-chip companies like the big four banks, as well as mining and materials giants.
It is a popular option for investors looking for simple exposure to the ASX 200.
Furthermore, it has a strong track record, with a per annum return of 10.97% over the last 5 years.
Vanguard MSCI Index International Shares ETF (ASX: VGS)
A nice compliment to an Australian focussed ASX ETF is this fund from Vanguard.
It includes around 1,300 companies from developed countries, excluding Australia.
Investing internationally offers greater access to sectors such as technology and health care that aren't as well represented in the Australian share market.
It has brought annual returns of almost 15% over the last 5 years.
Vanguard S&P 500 US Shares Index ETF (ASX: V500)
This fund from Vanguard is actually brand new.
It only hit the market last week.
However, the fund provides exposure to a diversified portfolio of the 500 largest publicly listed U.S. companies across all major sectors.
While the fund is new, the index it tracks – the S&P 500 – is one of the benchmark US indexes.
The index is up 71.19% over the last 5 years.
