It is dealing with too many of them.

There are banks, miners, healthcare shares, retailers, technology companies, dividend shares, growth shares, and exchange-traded funds (ETFs). Every week brings new broker notes, market moves, and headlines.

So, how should an investor put money to work when they do not know what to buy?

This is how I would think about it.

Start with the job the investment needs to do

Before choosing a share, I would ask a simpler question: What do I want this investment to achieve?

If the goal is broad exposure, an ASX ETF could be the easiest answer. Something like the Vanguard Australian Shares Index ETF (ASX: VAS) can give investors exposure to a large group of Australian companies in one trade.

If the goal is global growth, an ETF such as the Vanguard MSCI Index International Shares ETF (ASX: VGS) could open the door to companies and sectors that are harder to access through the ASX alone.

If the goal is individual stock picking, I would then focus on business quality rather than trying to guess which share will move next week.

That first step matters because not every good investment does the same job.

Look for repeatable strengths

When I look at individual ASX shares, I want to understand why the business might be more valuable in five or 10 years.

That could come from a trusted brand, a powerful market position, recurring revenue, customer loyalty, scale, cost advantages, or a product that is difficult to replace.

For example, ResMed Inc (ASX: RMD) has a strong position in sleep health, with devices, masks, accessories, and software supporting ongoing treatment needs.

Macquarie Group Ltd (ASX: MQG) has a very different appeal. It is a global financial group with exposure to infrastructure, asset management, commodities, private capital, and market activity.

Neither business is perfect. But both have qualities that could allow them to keep building value over time.

That is the sort of thinking I would use. I would not ask only whether a share is popular today. I would ask whether the business has strengths that can keep showing up over many years.

Avoid needing one perfect pick

I do not think investors need to find the single best ASX share before getting started.

That can create too much pressure. Instead, I would think in layers. One investment might provide broad market exposure. Another might add global growth. Another might be a high-quality Australian business. Another might be a more ambitious growth idea.

This does not mean making things complicated. It just means accepting that different investments can play different roles, depending on what the investor is trying to achieve.

It also reduces the risk of putting too much weight on one decision.

Foolish Takeaway

Not knowing exactly what to buy is not a reason to stay on the side lines forever.

I think the better approach is to slow the decision down. Work out what the investment needs to do, focus on quality, and avoid making the whole plan depend on one perfect pick.

The share market will always feel uncertain. But investors do not need certainty to begin. They need a sensible process they can keep using, even when the headlines are noisy.

The post How to invest in ASX shares when you don't know what to buy appeared first on The Motley Fool Australia.

Break the shackles

The goal is to build a sufficient nest egg to support an early retirement, taking advantage of the significant benefits of compound interest, often coupled with a frugal approach to spending.

A commonly cited savings target is to accrue a portfolio worth 25 times your annual expenses which can then be drawn down over time – this is known as the 4% rule.

One of the main tenets of the FIRE movement is also that rather than picking individual stocks, investors should buy index-tracking exchange-traded funds (ETFs), which remove the volatility of single stocks and if they track the right indices, tend to perform relatively predictably over time.

Once bought, investors are encouraged to regularly invest into the same portfolio of ETFs, and ignore market volatility in favour of a long-term view.

Two of the indices favoured by many in the Australian FIRE community are the Vanguard Australian Shares Index ETF (ASX: VAS), and the Vanguard MSCI Index International Shares ETF (ASX: VGS).

Local focus

With regards to VAS, Vanguard says it is Australia's largest ETF, which gives investors exposure to the top 300 companies listed on the ASX.

Vanguard says on its website:

The ETF provides low-cost, broadly diversified exposure to Australian companies and property trusts listed on the Australian Securities Exchange. It also offers potential long-term capital growth along with dividend income and franking credits.

Not surprisingly, the fund's largest holdings are in the big four banks, as well as BHP Ltd (ASX: BHP).

According to the Vanguard website, $10,000 invested five years ago would now be worth $14,793.

VAS has a management fee of 0.07%.

Looking further afield

The VGS ETF has a much wider remit than VAS, with exposure to about 1300 companies from developed countries, notably excluding Australia so it doesn't double up with VAS.

Vanguard says on its website:

Investing internationally offers greater access to sectors such as technology and health care that aren't as well represented in the Australian share market. The ETF provides exposure to many of the world's largest companies listed in major developed countries. It offers low-cost access to a broadly diversified range of securities that allows investors to participate in the long-term growth potential of international economies outside Australia.

The ETF's largest holdings are in US tech companies including Nvidia, Apple, and Microsoft.

Vanguard said $10,000 invested five years ago would now be worth $18,450.

The management fee for VGS is 0.18%.

The post Looking to FIRE? Here are 2 ASX ETFs to get your portfolio started appeared first on The Motley Fool Australia.

The three ASX ETFs in this article give investors exposure to different parts of the share market. I think that can be useful because no one region, strategy, or market will always lead.

Here's where I would consider investing.

Vanguard S&P 500 US Shares Index ETF (ASX: V500)

The first Vanguard ETF I would consider is the Vanguard S&P 500 US Shares Index ETF.

This fund gives investors exposure to the S&P 500, which includes 500 of the largest listed companies in the United States.

I like this ETF because the US market remains home to many of the world's strongest companies. These businesses are often global leaders, with large customer bases, strong balance sheets, and the ability to keep investing in new products, technology, distribution, and acquisitions.

While technology has become a large part of this index, investors also gain exposure to healthcare, financial services, industrials, consumer brands, payments, communication services, and other major parts of the US economy.

The V500 ETF is unhedged, so currency movements can affect returns for Australian investors. But for investors seeking long-term capital growth, I think it is an appealing way to gain exposure to the US share market.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

The second Vanguard ETF I would consider is the Vanguard MSCI Index International Shares ETF.

The VGS ETF gives investors broad exposure to developed-market shares outside Australia. That includes the United States, but it also adds companies from markets such as Japan, the United Kingdom, Canada, France, Germany, Switzerland, and other major economies.

I like this ETF because it provides a wider global base than a pure S&P 500 fund.

There will be overlap with the V500 ETF, particularly through large US companies. But the VGS ETF adds more international depth, which can be useful for investors who want exposure to different economies, currencies, industries, and business cultures.

The fund can give access to areas that are harder to build through the ASX alone, including global healthcare leaders, luxury brands, industrial champions, semiconductor suppliers, software businesses, and consumer platforms.

It may not be exciting but it gives investors a simple way to own a large basket of global companies without needing to choose every market or stock individually.

For long-term investors, I think the VGS ETF remains one of the cleanest Vanguard options on the ASX.

Vanguard Diversified High Growth Index ETF (ASX: VDHG)

The third Vanguard ETF I would look at is the Vanguard Diversified High Growth Index ETF.

This is a very different option from the first two. The VDHG ETF is designed as an all-in-one diversified fund. It gives investors exposure to Australian shares, global shares, emerging markets, and some defensive assets in a single ETF.

I like it because it reduces the need to overthink the mix.

Some investors enjoy choosing between Australian shares, US shares, global shares, and emerging markets. Others may prefer a simpler option that does much of that asset allocation inside one fund.

The VDHG ETF is tilted strongly towards growth assets, so it can still move around when share markets fall. It is not a low-volatility fund. But for investors with a long time horizon, that growth focus can be useful.

I also think there is a behavioural benefit. A diversified ETF can make it easier to stay invested because the investor is not relying on one market, one country, or one theme to carry the whole return.

Foolish takeaway

I would keep a $5,000 investment in Vanguard ETFs simple.

The aim is not to find the perfect fund for the next few weeks. It is to put money into assets that can keep working over many years, across different markets and conditions.

That is why I like using simple, diversified ETFs for this type of investment. They can help investors avoid overthinking every short-term market move and focus on the bigger prize: staying invested long enough for compounding to make a meaningful difference.

The post Where to invest $5,000 in Vanguard ETFs in June appeared first on The Motley Fool Australia.

Unfortunately for investors, 2026 is shaping up to be a down year. 

At the time of writing, Australia's benchmark index is sitting almost in the same position as the start of the year. 

Why international diversification matters 

While the Australian share market has delivered strong long-term returns, it makes up only a small portion of the global share market.

That means investors who only own ASX shares are missing out on many of the world's largest and fastest-growing companies. 

International diversification can help reduce reliance on the performance of Australian banks, miners, and energy companies, while providing exposure to global leaders in sectors such as technology, healthcare, consumer brands, and artificial intelligence. 

It can also smooth portfolio returns when the local market is struggling, as different economies and industries often perform well at different times.

With the ASX 200 treading water in 2026, adding international ETFs could be a simple way for investors to access new growth opportunities and build a more resilient portfolio.

Here are three ideal options to diversify away from Australian equities. 

BetaShares Nasdaq 100 ETF (ASX: NDQ)

This ASX ETF is one of the most popular funds for Australian investors and one of the largest by market cap. 

The fund aims to track the performance of the Nasdaq 100 Index. 

The Nasdaq 100 comprises 100 of the largest non-financial companies listed on the Nasdaq market, and includes many companies that are at the forefront of the new economy.

With its strong focus on technology, NDQ provides diversified exposure to a high-growth potential sector that is under-represented in the Australian sharemarket.

It could be an ideal choice for investors looking to access the dynamic tech sector in the US. 

The fund has risen more than 12% year to date. 

Vanguard Msci Index International Shares ETF (ASX: VGS)

This ASX ETF from Vanguard is another popular choice amongst investors looking to target international stocks. 

It includes roughly 1,300 companies from developed countries, excluding Australia.

The fund provides exposure to many of the world's largest companies listed in major developed countries. 

It has provided annual returns of over 10% for the last 5 years. 

Vanguard All-World ex-US Shares Index ETF (ASX: VEU)

Another option for investors looking to diversify away from Australian and US stocks is this fund from Vanguard. 

The ETF provides exposure to many of the world's largest companies listed in major developed and emerging countries outside the US.

It offers instant diversification with over 3,000 equities in a single trade. 

Over the last 5 years, it has provided annualised returns of approximately 10%. 

The post 3 ASX ETFs to diversify away from a flat Aussie market appeared first on The Motley Fool Australia.

There are plenty of investments that an Australian could choose, but this offering from Vanguard has so many useful characteristics that it could be one of the very best ASX ETFs.

When I say it could be good for the long term, I'm thinking decades ahead. Let's look at what makes it so compelling.

Global diversification

The ASX ETF's investment strategy is to invest in a global portfolio of businesses from across numerous economically developed countries.

Some of the other most popular funds on the ASX are just focused on Australian shares or US shares. The global share market is an excellent place to invest, giving access to the biggest names from various countries, such as the US, Japan, the UK, Canada, France, Switzerland, and Germany.

By investing in such a widespread way, the fund helps lower risks while giving exposure to a lot of great businesses.

At the end of April 2026, the VGS ETF had 1,275 holdings. As time goes on, the holdings will change, allowing it to benefit from the rise of the latest winners. For example, the ASX ETF's portfolio has benefited from the huge rise in the share price.

Impressive businesses

No returns are guaranteed, but I think the VGS ETF has a number of financial metrics that can help spur returns for investors.

For example, its portfolio's earnings growth rate was reported in April 2026 as 21.3%. Growing profit is a key factor in supporting share prices, so it's pleasing to see that level of progress. Over the long term, earnings growth may be the most important driver of success.

The return on equity (ROE) is a helpful measure showing how much money these businesses make on retained shareholder money, and it may also imply what sort of return additional retained profit could make. The ROE was 19.7% as of April 2026.

The biggest positions in the portfolio include names like Nvidia, Alphabet, Apple, Microsoft, Amazon, and Meta Platforms.

Low fees

One of the biggest contributors to how well an ASX ETF performs is the scale of its fees. The lower the fees, the better, because that's leaving more of the money in the hands of the investor and more for compounding.

The VGS ETF has an annual management fee of 0.18%, which I'd describe as one of the lowest on the ASX for a globally-diversified portfolio.

All of the above helped the fund deliver an annual net return per year of around 13.5% per year, which I'd describe as a wonderful rate of compounding and can help wealth-building. Past performance is not a guarantee of future returns of course, but I think it can continue performing very well.

The post 3 reasons why this ASX ETF could be an incredible buy-and-hold forever idea appeared first on The Motley Fool Australia.

The global oil shock continued, with the Strait of Hormuz remaining effectively closed with scores of oil tankers stranded.

The Reserve Bank of Australia raised interest rates for a third time in 2026 last month due to resurgent inflation.

Softer-than-expected inflation data and 18,600 job losses in April suggest the RBA is unlikely to raise rates again this month.

The market expects the RBA to keep interest rates on hold at 4.35% on 16 June.

Changes to capital gains tax (CGT) proposed in the Federal Budget shocked some investors last month.

The 50% CGT discount for assets held for more than a year will be replaced by cost-base indexation and a minimum 30% CGT rate from 1 July 2027.

Existing investments in ASX shares and property will be grandfathered.

That means the 50% CGT discount will continue to apply to gains accrued before 1 July 2027 on those assets.

After 1 July 2027, cost base indexation will apply for future gains on those existing investments.

There is one exception under the changes. Investors who buy new properties will be able to choose between the two CGT methods.

Private wealth and investment advisory firm, Medallion Financial Group, says the changes may encourage more focus on yield.

For example, investors may prefer to accumulate more franked ASX dividend shares over growth investments.

Drew Meredith, a principal adviser at Wattle Partners, provides 5 tips for investors considering topping up their dividend stocks.

Most bought ASX shares in May

The following ASX shares and ETFs were the most bought by investors using the Bell Direct trading platform last month.

The rankings are based on order of net value of buy orders, minus sell orders, placed by Bell Direct clients.

Given the number of experts discussing the enhanced appeal of dividends under the CGT changes, it's interesting to see the market's largest ASX dividend ETF at the top of the buy list.

Source: Bell Direct

Most sold ASX shares last month

Source: Bell Direct

The post Top 10 ASX shares bought and sold by investors in May appeared first on The Motley Fool Australia.

I think it can. But the important part is not trying to make every dollar work overnight. It is letting repeated investing and time do the work together.

Investing $5,000 a year into ASX shares

Let's assume an investor puts $5,000 a year into ASX shares and achieves an average annual return of 9%.

That return is not guaranteed. The share market will have strong years, flat years, and painful years. But 9% is a useful long-term target for understanding how compounding can work.

After five years, investing $5,000 a year at 9% could grow to roughly $32,000. That is a solid result, but it may not feel life-changing.

After 10 years, it could be worth around $80,000.

At that point, the portfolio is starting to look more meaningful. But the really interesting part comes later, when the investment returns start becoming larger than the annual contribution.

That is when compounding begins to feel more powerful.

The later years can change everything

After 20 years, investing $5,000 a year at 9% could grow to around $280,000.

After 30 years, it could grow to approximately $740,000.

Finally, after 34 years, the figure could be more than $1 million.

That is the part I find most interesting. The annual investment amount has not changed. It is still $5,000 a year. But the result becomes much larger because the returns are building on a bigger and bigger base.

This is why I think time is such an underrated part of investing.

A person does not need to find the perfect ASX share every year. They need a sensible plan, patience, and the discipline to keep putting money to work through different markets.

What would I invest in?

If I were investing $5,000 a year, I would focus on quality and diversification.

That could mean using an ASX exchange-traded fund (ETF) like the Vanguard MSCI Index International Shares ETF (ASX: VGS) for broad exposure, then adding individual ASX shares where I see strong long-term opportunities.

I would want businesses with durable demand, capable management, good balance sheets, and the ability to grow earnings over time.

I would not want the plan to depend on one hot stock, one sector, or one short-term theme. Over decades, the market will change many times. A more balanced approach gives investors a better chance of staying the course.

Foolish takeaway

So, can someone get rich by investing $5,000 a year into ASX shares?

I think the answer is yes, provided they give the plan enough time and avoid getting shaken out by every market downturn.

The most powerful part of this strategy is not the first year, or even the first decade. It is what happens when the habit keeps going for 20, 30, or 35 years.

That is when ordinary annual contributions can become something much more impressive.

The post Can you get rich by investing $5,000 a year into ASX shares? appeared first on The Motley Fool Australia.

According to the survey, 45% of Gen Z and Millennials say they invest in shares, exchange-traded funds (ETFs), or other financial products.

I think that is encouraging. The earlier someone starts investing, the more time they give compounding to do its work.

But for new and prospective Gen Z investors, I think the goal should be simplicity, diversification, and long-term growth. There is no need to build a complicated portfolio from day one.

Three Vanguard ASX ETFs I think could be strong options are named in this article.

Vanguard Global Technology Index ETF (ASX: VTEK)

I think the Vanguard Global Technology Index ETF could suit Gen Z investors.

I like this fund because technology is not just a sector anymore. It is becoming part of almost everything.

Work, shopping, entertainment, advertising, healthcare, finance, education, logistics, and communication are all being reshaped by digital tools. Artificial intelligence (AI) is accelerating that shift, but it is not the only driver.

The VTEK ETF gives investors exposure to a portfolio of global technology companies. This can include businesses involved in software, semiconductors, cloud computing, devices, digital platforms, and other parts of the technology ecosystem.

Importantly, this fund allows investors to benefit from the broader technology theme without needing to guess which individual tech giant will perform best.

It will inevitably be volatile at times. Technology shares can fall hard when valuations reset or interest rates rise. But for investors with decades ahead of them, I think long-term exposure to global technology makes sense.

Vanguard FTSE Asia Ex-Japan Shares Index ETF (ASX: VAE)

Another ASX ETF I like for Gen Z investors is the Vanguard FTSE Asia Ex-Japan Shares Index ETF.

Gen Z investors are likely to live through a world where Asia becomes even more important economically. Rising middle-class wealth, digital payments, e-commerce, manufacturing, technology platforms, and changing consumption patterns could all support long-term growth across the region.

The VAE ETF gives investors exposure to Asian share markets outside Japan. This can add a growth angle that is not easily found on the ASX.

It also helps avoid building a portfolio that is too dependent on Australia and the United States.

There are risks. Asian markets can be more volatile, and some countries have higher political, regulatory, and currency risks. This is not the ETF I would use as an entire portfolio. But as part of a diversified long-term approach, I think it could be useful.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

The popular Vanguard MSCI Index International Shares ETF is another I would recommend to Gen Z investors.

It provides investors access to a broad portfolio of developed-market shares outside Australia. That includes companies from the United States, Europe, Japan, Canada, and other major markets.

I like this because many Australian investors start with local shares and never properly diversify overseas.

That can leave a portfolio heavily exposed to banks, miners, supermarkets, telcos, and local property. Those can be good sectors, but they do not represent the full global economy.

The VGS ETF helps solve that problem in one trade. It gives investors exposure to over a thousand global companies across many industries. For a young investor, that kind of broad base can be valuable because it reduces the pressure to get every individual stock pick right.

Foolish takeaway

Gen Z investors have one huge advantage that older investors cannot buy back: time.

That does not mean they need to chase every trend or take unnecessary risks. In fact, I think the smarter approach is to build a portfolio that can keep working quietly in the background for years.

ETFs like these can help with that. They provide access to global businesses, long-term growth themes, and markets beyond Australia without requiring constant tinkering.

The post 3 top ASX ETFs for Gen Z investors to buy appeared first on The Motley Fool Australia.

By regularly saving and putting money to work, investors can end up with a much larger pot of money compared to how much they put in.

Just having money in a high interest savings account can make a big difference.

Putting $100 per month under the mattress for ten years would be $12,000. According to the Moneysmart compound interest calculator, if the money earned a 5% interest rate, it'd be just over $15,000 – an extra $3,000, or an extra 25% in percentage terms!

That's just putting the money into a bank account.

What about if the money had been invested in the share market and achieved the ultra-long-term return of 10% per year? That same $100 per month for 10 years would turn into $19,125.

That's not $1 million though.

How someone on a $70,000 salary can become a millionaire

The cost of living certainly makes it harder to save when the essentials are more expensive. I won't suggest that someone earning $70,000 will have significant room to invest each month, though that's certainly possible for someone in a dual income household.

What if we assume that someone could save $1,000 per month and it earned an average of 10% per year over the long-term. Remember, there could be a decline in some years – that's why it's an average return.

In that scenario, an investor would have $191,000 after 10 years, $687,000 after 20 years and $1.06 million after 24 years. The last few years see significant progress because of compounding – if $900,000 grows by 10% that's a $90,000 increase.

But, perhaps most importantly towards wealth-building is superannuation. The tax-efficient, mandatory system for retirement savings. Someone on an annual salary would contribute just under $5,000 (after the tax on the contributions) to their superannuation fund.

Adding in the superannuation would help shave a few years off reaching millionaire status.

If that Australian were just relying on mandatory superannuation contributions alone, and assuming they invest in an investment option (such as shares) that could return an average of around 10% per year, they'd get there in 32 years. Investment returns (after tax) will play an important role in how quickly that grows.

In my view, the future looks very bright for Aussies who regularly contribute money towards their wealth and invest in long-term, compounding options. Ideas like VanEck MSCI International Quality ETF (ASX: QUAL), Vanguard MSCI Index International Shares ETF (ASX: VGS) and excellent ASX growth shares are some of the names I look at to invest in for long-term returns.

The post How to become a millionaire on a $70,000 salary appeared first on The Motley Fool Australia.

One simple and effective way to do this is through ASX ETFs. 

For Australians looking to build a straightforward retirement portfolio without spending hours researching individual shares, a two-ETF strategy can be an effective solution. 

One combination that continues to appeal to income-focused investors is pairing: 

• Vanguard Australian Shares High Yield ETF (ASX: VHY)
• Vanguard Msci Index International Shares ETF (ASX: VGS). 

A balanced approach

The Vanguard Australian Shares High Yield ETF provides low-cost exposure to companies listed on the ASX that have higher forecast dividends relative to other ASX-listed companies.

Meanwhile, the Vanguard international shares ETF invests in around 1,300 companies from developed countries, excluding Australia.

The attraction of this approach is balance. 

VHY focuses on higher-yielding Australian companies, giving investors exposure to many of the ASX's largest dividend payers, including banks, mining giants, and established industrial businesses. 

For retirees, this ASX ETF's attractive distributions and potential franking credits may help provide a reliable source of passive income.

At the same time, VGS delivers something many Australian portfolios often lack – genuine global diversification.

This ASX ETF provides access to thousands of companies across the United States, Europe, and Asia, including major global leaders in technology, healthcare, and consumer brands.

A portfolio split between the two could offer a practical combination of steady income and long-term growth potential.

Important retirement points

One of the biggest mistakes retirees can make is chasing the highest possible dividend yield. 

While income is important, total returns still matter. A portfolio also needs growth to help combat inflation over a retirement that could last decades.

That is where VGS can play an important role. While it may offer a lower dividend yield than Australian shares, international equities have historically delivered strong long-term capital growth.

Meanwhile, VHY can continue generating regular income from established Australian businesses, with the added bonus of franking credits that may improve after-tax returns for some investors.

Importantly, this strategy also keeps investing simple. Both ASX ETFs are low-cost, diversified, and easy to manage. 

This makes them an attractive "set-and-forget" option for long-term retirement investors.

Foolish takeaway 

The advantage of ASX ETF investing is the instant diversification and set and forget mentality in just a couple of trades. 

By combining broad Australian exposure with global diversification, investors can build a low-maintenance portfolio that balances income today with growth for tomorrow. 

Rather than trying to time the market or pick individual winners, this approach allows investors to stay consistently exposed to high-quality businesses around the world.

The post An easy 2 ASX ETF portfolio to fund retirement  appeared first on The Motley Fool Australia.

Some offer exposure to artificial intelligence. Others focus on cybersecurity, defence, dividends, or emerging markets.

But if I had to choose just one ETF to buy and hold for the next decade, I would keep things simple.

My pick would likely be the Vanguard MSCI Index International Shares ETF (ASX: VGS).

Why this ASX ETF stands out

This popular fund gives investors exposure to a large portfolio of international shares across developed markets.

That includes companies listed in the United States, Europe, Japan, Canada, and other major global economies. In one ASX trade, investors can access over one thousand businesses across many sectors.

The Australian share market is relatively concentrated. Banks and resources companies make up a large part of the local index, which can leave investors heavily exposed to a small number of sectors.

The Vanguard MSCI Index International Shares ETF helps solve that problem.

Its holdings include global leaders such as Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and NVIDIA (NASDAQ: NVDA), as well as companies across healthcare, consumer goods, financials, industrials, and communications.

A simple way to go global

The strength of this ASX ETF is that investors do not need to predict which country or sector will win over the next 10 years.

If US technology companies continue to dominate, this fund has exposure to them. If European healthcare or Japanese industrial companies perform well, the fund has exposure there too.

That broad reach makes it useful as a long-term holding.

It is also a much simpler approach than trying to buy individual overseas shares, manage currency conversions, or follow dozens of offshore companies.

Why I'd hold it for a decade

A 10-year holding period rewards patience and diversification.

There will almost certainly be market falls along the way. Some regions will disappoint. Some sectors will go through weak periods. But a fund like the Vanguard MSCI Index International Shares ETF spreads risk across a wide range of companies and economies.

But it is worth remembering that this does not make it a risk-free investment. Share markets can be volatile, and international shares will move with global conditions.

But for investors wanting a straightforward way to participate in global growth, this ASX ETF is hard to overlook.

It offers scale, diversification, global market exposure, and a simple structure. That combination is why, if I could buy only one ASX ETF for the next decade, it would be very high on my list.

The post If I could buy only one ASX ETF for the next 10 years, this could be it appeared first on The Motley Fool Australia.

I think both could be excellent long-term holdings.

The tricky part is that they are not as different as they may first appear. The VGS ETF has a large weighting to US shares, which means there is plenty of overlap with the IVV ETF.

Even so, there are some important differences.

The case for the IVV ETF

The IVV ETF gives investors exposure to the S&P 500.

That means investors are buying a slice of 500 large US-listed companies across technology, healthcare, financials, consumer goods, industrials, communications, and more.

For me, the appeal is the sheer quality and depth of the US market.

The S&P 500 has produced an average annual return of around 10% over the very long term. That is not guaranteed to continue, but it is an outstanding track record.

The US market has also been very good at producing world-leading companies. Many of today's most important businesses in artificial intelligence, cloud computing, software, digital advertising, payments, and consumer technology are listed in the United States.

That makes the IVV ETF a very simple way to access a powerful long-term growth engine.

It is not risk-free. US shares can become expensive, technology exposure can be high, and currency movements can affect Australian investors.

But if I wanted one clean, simple global growth ETF, the IVV ETF would be hard to beat.

The case for the VGS ETF

The VGS ETF takes a broader approach.

It still gives investors plenty of exposure to US shares, so investors are not missing out on many of the world's largest technology, healthcare, and consumer businesses. But it also reaches beyond the United States into other developed markets.

That means investors get exposure to companies listed in places such as Japan, the UK, France, Switzerland, Germany, the Netherlands, and Canada.

For example, the VGS ETF can provide access to global leaders that are not part of the S&P 500, such as LVMH Moet Hennessy Louis Vuitton, ASML, and Nestle.

I can see the appeal of that.

The world's best companies are not all listed in the United States, and the VGS ETF gives investors a more diversified way to invest internationally.

Which one would I choose?

This is a close call. If I could only buy one today, I would choose the IVV ETF.

The S&P 500's long-term record, the strength of US corporate earnings, and the number of world-class companies inside the index make it my preferred option.

But I do not think this is a one-size-fits-all answer.

The VGS ETF could be the better choice for investors who want broader developed-market diversification. It may also suit investors who prefer not to have so much of their international exposure tied to one country.

Foolish takeaway

I would not lose sleep owning either of these ETFs for the next decade.

The IVV ETF is my pick because I think the S&P 500 remains one of the best long-term wealth-building markets in the world.

But the VGS ETF solves a different problem. It gives investors a wider developed-market footprint and reduces the need to rely so heavily on the United States.

The post VGS vs IVV: Which ASX ETF is better? appeared first on The Motley Fool Australia.

But I think it becomes far more achievable when investors stop thinking about the full amount and start thinking about the process.

The goal is not to find one perfect share. It is to build a habit, choose quality assets, and give compounding enough time to work.

Here is how I would approach it.

Start with a simple core

The first step is to build a core holding.

For many investors, I think that could mean starting with a broad exchange-traded fund (ETF) such as the Vanguard Australian Shares Index ETF (ASX: VAS), iShares S&P 500 AUD ETF (ASX: IVV), or Vanguard MSCI Index International Shares ETF (ASX: VGS).

These ETFs can provide instant diversification across many companies, sectors, and geographies.

That is useful because beginners do not need to decide immediately whether a bank, miner, retailer, healthcare stock, or technology company will be the best performer.

They can own a broad basket and let the market do some of the work.

I would not overcomplicate this stage. A simple ETF core can give the portfolio a strong foundation while the investor keeps learning.

Add quality ASX shares over time

Once the core is in place, I would start adding individual ASX shares.

This is where investors can tilt the portfolio toward businesses they want to own for many years.

For me, the focus would be on quality. That means strong market positions, sensible balance sheets, reliable earnings, and long growth runways.

Examples could include companies such as Wesfarmers Ltd (ASX: WES), ResMed Inc (ASX: RMD), Macquarie Group Ltd (ASX: MQG), REA Group Ltd (ASX: REA), or Goodman Group (ASX: GMG).

I would not rush to buy everything at once.

A $150,000 portfolio can be built piece by piece. Buying periodically also reduces the pressure of trying to time the market perfectly.

Some purchases will look early. Some will look well timed. Over a decade, the bigger driver is usually whether the investor kept buying quality assets and stayed invested.

Reinvest the income

Dividends can make a big difference.

At first, they may not feel very exciting. A small portfolio might only generate a few dollars or a few hundred dollars of income each year.

But reinvested dividends can help buy more shares, which can then generate more dividends in future years.

That is one reason I like ASX shares for long-term wealth building. Many Australian companies have a strong dividend culture, and reinvesting those payments can quietly add to compounding.

Let the portfolio mature

A $150,000 portfolio will not be built overnight unless someone already has a large amount of capital.

But regular investing can get the job done.

For example, investing $500 a month at an average annual return of 9% would grow to around $150,000 in just over 13 years. That return is not guaranteed, and markets will not move in a straight line.

Still, the maths shows why consistency is so powerful.

The key is to keep going through good markets and bad ones.

Foolish Takeaway

I think building a $150,000 ASX portfolio is less about doing something dramatic and more about repeating a sensible plan.

Start with a diversified core, add quality ASX shares over time, reinvest the income, and let compounding build momentum.

There will be pullbacks, bad headlines, and moments when cash feels safer. But investors who keep buying good assets through those periods give themselves a real chance of turning a modest starting point into a meaningful portfolio.

The post How to build a $150,000 ASX share portfolio from scratch appeared first on The Motley Fool Australia.

That's because it allows investors to leverage the power of compounding, which is what happens when you generate returns on top of returns.

But if you're not a fan of stock picking, don't worry because exchange traded funds (ETFs) are here to save the day.

They allow investors to buy large groups of shares in one fell swoop. This eliminates the need to buy individual stocks.

With that in mind, listed below are two ASX ETFs that could be worth considering for the long term. Here's what they offer investors:

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The first ASX ETF with strong long-term potential is the popular Betashares Asia Technology Tigers ETF.

This fund focuses on large technology companies across Asia, giving investors exposure to digital growth outside the United States.

That could be important because Asia's technology sector has its own drivers. It includes ecommerce platforms, semiconductor leaders, digital payments, online services, and companies tied to rising consumption across large populations.

Among its holdings are the likes of Baidu (NASDAQ: BIDU), Taiwan Semiconductor Manufacturing Company (NYSE: TSM), Samsung Electronics, and WeChat owner Tencent Holdings (SEHK: 700).

The fund will not always move in line with US technology ETFs. That can make it a more volatile option at times, but also gives investors exposure to a different set of opportunities.

It was recently recommended by analysts at Betashares.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another ASX ETF to consider as a buy and hold investment is the Vanguard MSCI Index International Shares ETF.

This fund is one of the broadest options available to investors on the Australian share market.

It provides exposure to over 1,000 stocks from developed markets around the world, including the United States, Europe, Japan, and other major economies.

Among its holdings are household names such as iPhone maker Apple (NASDAQ: AAPL), software leader Microsoft (NASDAQ: MSFT), luxury giant LVMH Moet Hennessy Louis Vuitton SE, and food behemoth Nestle (SWX: NESN).

That breadth is its strength. The Vanguard MSCI Index International Shares ETF can act as a simple way to participate in global equity market growth without needing to decide which country, sector, or theme will lead next.

For investors looking for a core global ETF to hold for a decade or more, it arguably remains one of the cleanest options on the ASX.

The post 2 of the best ASX ETFs to buy and hold appeared first on The Motley Fool Australia.

They allow investors to buy groups of shares with a single click of the button, removing the need for stock picking.

But with so many out there, it can be hard to decide which ones to buy over others.

The good news is the team at DP Wealth Advisory has narrowed things down by revealing one ASX ETF it would buy and one it would hold, courtesy of The Bull.

Here's what it is recommending this week:

Munro Concentrated Global Growth Active ETF (ASX: MCGG)

DP Wealth Advisory has named the Munro Concentrated Global Growth Active ETF as a buy this week.

This fund provides an easy way for investors to gain access to an actively managed portfolio of 20-40 global growth equities.

This includes some of the most innovative and fastest growing companies in the world today, such as Nvidia (NASDAQ: NVDA), Amazon (NASDAQ: AMZN), Broadcom (NASDAQ: AVGO), Mastercard (NYSE: MA), and Airbus (ETR: AIR).

Commenting on the fund, DP Wealth Advisory said:

This exchange traded fund holds between 20 and 40 global equities. It invests in North America, Asia and Europe. Holdings include Nvidia, CATL and TSMC. Sectors it invests in include connectivity, climate and high performance computing.

It generated returns of 23.3 per cent in the past year to April 30, 2026. Company performance has been strong since listing in February 2022. The price of the ETF has been enjoying strong momentum since April 1, 2026 and we expect this trend to continue moving forward. I hold this ETF in my self managed super fund.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

The team at DP Wealth Advisory has named the Vanguard MSCI Index International Shares ETF as a hold this week.

This hugely popular ASX ETF provides investors with access to over 1,000 global stocks, including many of the best companies in the world.

DP Wealth Advisory highlights that the concentration of US technology stocks in this fund could weigh on returns given concerns over their valuations. It explains:

This exchange traded fund provides investors with passive exposure to the Morgan Stanley Capital Index (sic) (MSCI), comprising more than 1500 of the world's largest companies, excluding Australia. The fund is heavily exposed to the United States and holds names such as Nvidia, Apple and Microsoft. The ETF is exposed to fluctuations in the Australian dollar. Performance has been sound in the past 12 months. However, a heavy concentration of US technology stocks, and associated concerns about their valuations leave VGS a hold for now.

The post Expert names 1 ASX ETF to buy and 1 to hold appeared first on The Motley Fool Australia.

It is long enough for compounding to do meaningful work, but close enough to make the goal feel real.

If I were trying to build wealth by 2036, I would want a portfolio that is simple, diversified, and focused on long-term growth rather than short-term market noise.

Vanguard exchange-traded funds (ETFs) can be a good way to do that. They offer broad exposure, low costs, and the ability to invest across thousands of companies without needing to pick every winner.

Three Vanguard ETFs I would consider are named in this article.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

The first ETF I would buy is the Vanguard MSCI Index International Shares ETF. It gives investors exposure to a large basket of global shares across developed markets outside Australia.

That is useful because the ASX is only a small part of the global share market. Australia has some excellent companies, but it is also heavily weighted toward banks and miners. The VGS ETF can help investors access many of the world's biggest businesses across technology, healthcare, consumer goods, financials, industrials, and more. This includes Nvidia, Apple, and Microsoft.

I like the fund because it gives investors a broad way to benefit from global innovation and corporate earnings growth over time.

There will be market downturns along the way. But if the global economy is larger in 2036 than it is today, I think a diversified global share ETF has a good chance of being a strong wealth builder.

Vanguard Australian Shares Index ETF (ASX: VAS)

The second ETF I would consider is the Vanguard Australian Shares Index ETF.

This fund provides exposure to a broad range of Australian shares, including large companies such as Commonwealth Bank of Australia (ASX: CBA), BHP Group Ltd (ASX: BHP), and Coles Group Ltd (ASX: COL).

I think this ETF can play an important role in a portfolio because Australian shares offer something different from global shares.

The local market has a strong dividend culture, and many companies pay franked dividends. That income can be reinvested while an investor is building wealth, helping the portfolio grow over time.

It may not be the fastest-growing ETF on the ASX, but I think it can be a strong foundation holding for investors who want broad exposure to the local market.

Vanguard Diversified High Growth Index ETF (ASX: VDHG)

The final ETF I would look at is the Vanguard Diversified High Growth Index ETF.

It is a ready-made diversified portfolio in one fund. It provides exposure to Australian shares, international shares, emerging markets, and a small allocation to defensive assets.

That makes it appealing for investors who want simplicity.

Instead of deciding how much to put into Australian shares, global shares, emerging markets, and bonds, the VDHG ETF does much of that work inside one ETF.

The fund is still growth-focused, so it will move with share markets. But it also gives investors a wide spread of assets, which can reduce reliance on any single country or sector.

For someone aiming to build wealth by 2036, I think it could work well as a core holding or as a simple all-in-one option.

Foolish Takeaway

Building wealth by 2036 does not require a complicated portfolio. In fact, I think simplicity can be a major advantage.

There will be downturns, corrections, and years when returns disappoint. But for investors who keep adding money, reinvest income, and stay focused on the long term, these three Vanguard ETFs could be strong tools for building wealth over the next decade.

The post 3 Vanguard ETFs for Australian investors to build wealth by 2036 appeared first on The Motley Fool Australia.

For many people, it begins with a regular amount that can be put aside each month. And while $500 may not sound like enough to build serious wealth, time can do a lot of heavy lifting.

Let's see just how much wealth could be built with $500 a month and ASX shares.

The numbers

If an investor put $500 a month into ASX shares and earned an average return of 10% per annum, the results could become very meaningful over time.

After 10 years, those monthly investments could grow to approximately $100,000.

After 20 years, the balance could reach around $360,000.

Finally, after 30 years, it could grow to approximately $1 million.

That is the power of compounding. The longer the money stays invested, the more returns begin to build on previous returns.

Of course, a 10% annual return is not guaranteed. It is broadly in line with long-term historical share market returns, but actual returns will vary from year to year. Some years will be strong, others will be weak, and some could even be painful.

Discipline is the hard part

The maths is simple. The behaviour is harder.

Investing $500 a month requires consistency. It means continuing through market falls, bad headlines, interest rate moves, recessions, and company downgrades.

Regular investing removes some of that pressure. It does not require picking the perfect day to buy. It simply keeps the plan moving.

Diversification matters

While long-term investing can be powerful, it is still important to spread risk.

Even high-quality companies can go through difficult periods. CSL Ltd (ASX: CSL) is a recent reminder of that. It was once viewed as one of the ASX's most dependable long-term growth shares, yet its shares have fallen heavily after a series of disappointing updates.

That does not mean quality investing has failed. It means no single company should carry too much of the load.

A diversified portfolio across different sectors, business models, and geographies can help reduce the damage when one holding struggles. This could be achieved initially with an exchange traded fund (ETF) like the Vanguard MSCI Index International Shares ETF (ASX: VGS), which gives investors easy access to over 1,000 global shares.

Foolish takeaway

Turning $500 a month into a large portfolio is about time, patience, and discipline.

Invest regularly, stay diversified, and give compounding enough years to do its work. That combination can turn a monthly habit into significant long-term wealth.

The post How much $500 a month could become with ASX shares appeared first on The Motley Fool Australia.

The Australian ETF Review shows that the diversification of ASX ETFs is attracting more and more investors every month, particularly into international funds.

After a turbulent few months, global markets staged a strong rebound in April, helping push the Australian ETF industry to a new record of $346 billion in funds under management. Combined with another month of net inflows exceeding $5 billion, the industry recorded its third largest monthly gain in history.

April overview

According to Betashares, the Australian ETF industry set a new record in April, reaching $346 billion in funds under management following another month of inflows exceeding $5 billion. 

Strong flows, combined with a rebound in global markets, drove the third largest single-month dollar gain in the industry's history.

International equities was the standout asset class for the month, capturing nearly half of all inflows at $2.6 billion – reflecting strong performance across global markets. 

Australian equities and fixed income followed in second and third place respectively.

Market insights 

Hugh Lam, Betashares, Investment Strategist said despite the ongoing fallout from the Iran war, stock market indices staged a remarkable recovery in April buoyed by a still resilient global economy and renewed optimism around the AI hardware/memory theme. 

Following their Q1 2026 earnings results, US mega-cap hyperscalers are forecast to spend US$755 billion on capital expenditures this year. This has fuelled a massive memory supercycle, with markets like South Korea's KOSPI index having tripled over the last year due to its outsized exposure to memory chip manufacturers, Samsung and SK Hynix.

Mr Lam noted that the oil supply shock still presents downside risks to the global economy should the Strait of Hormuz remain closed for longer than anticipated. 

Structural themes that are either unaffected or bolstered by the Iran war include AI tech hardware, defence and energy security.

Top performing ASX ETFs in April

April's top performers skewed heavily toward growth and technology exposures, led by Nasdaq-linked strategies and strong gains in thematic equities.

Semiconductor and hydrogen ETFs featured prominently, reflecting continued momentum in AI-driven demand and clean energy optimism. 

The top performers in April were: 

• Global X Ultra Long Nasdaq 100 Hedge Fund (ASX: LNAS) rose 38%
• Global X Hydrogen ETF (ASX: HGEN) rose 35%
• Global X Semiconductor ETF (ASX: SEMI) climbed 30%. 

Inflows were largely focussed on international equities during April amidst volatility in the Australian market. 

The funds that received the most inflows during April were: 

• Vanguard Australian Shares Index ETF (ASX: VAS)
• Vanguard International Equity Index Funds – Vanguard Ftse All-World ex-US ETF (ASX: VEU)
• Vanguard Msci Index International Shares ETF (ASX: VGS). 

The post Why Aussie investors are pouring into international ASX ETFs appeared first on The Motley Fool Australia.

These three ASX ETFs form the backbone of countless long-term portfolios, offering broad exposure to Australia, global markets and the world's largest economy.

But after strong gains and shifting global conditions, investors may be asking whether they still deserve a place in a modern portfolio.

Aussie classic

The Vanguard Australian Shares Index ETF remains the core domestic building block for many investors, tracking the performance of the ASX's largest companies.

The ASX ETF has delivered around 5% over the past 12 months, reflecting steady but modest growth compared to global markets.

Two of its largest holdings include Commonwealth Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP), giving investors exposure to both financials and resources.

The strength of VAS lies in its diversification across Australia's leading companies and its consistent dividend income stream. However, risks remain, particularly its heavy concentration in banks and resources, which can make returns heavily dependent on domestic economic conditions and commodity cycles.

US tech heavy ETF

The iShares S&P 500 ETF has been one of the strongest performers among the trio, rising around 15% over the past 12 months.

This ASX ETF gives investors exposure to 500 of the largest US companies and has been driven by strong earnings growth in American technology and consumer sectors.

Two of its biggest holdings include Apple Inc. (NASDAQ: AAPL) and Microsoft Corporation (NASDAQ: MSFT), both of which have been key beneficiaries of artificial intelligence and cloud computing trends.

The strength of IVV lies in its exposure to global innovation leaders and long-term US economic growth. However, risks include currency fluctuations for Australian investors and a heavy concentration in US mega-cap technology stocks, which can increase volatility if sentiment shifts.

True global reach

The Vanguard MSCI International Shares ETF provides broad global diversification outside Australia and has returned around 12% over the past year.

This ASX ETF invests across developed markets, reducing reliance on the Australian economy and offering exposure to a wide range of industries and geographies.

Two of its largest holdings include Apple and NVIDIA Corporation (NASDAQ: NVDA), giving investors exposure to both established tech leaders and high-growth semiconductor demand.

VGS is often viewed as a long-term portfolio stabiliser due to its global reach. However, it still carries risks linked to international market cycles, geopolitical uncertainty and currency movements, all of which can impact returns for Australian investors.

Foolish takeaway

Despite strong recent performance across all three funds, these ASX ETFs continue to play distinct and complementary roles in long-term portfolios. VAS offers domestic stability and dividends, IVV provides high-growth US exposure, and VGS delivers global diversification.

For many investors, the combination remains a powerful foundation for building wealth over time. But understanding each ETF's risks and exposures is essential in deciding whether they still deserve a place in your portfolio today.

The post Are these ASX ETF giants still worth buying today? appeared first on The Motley Fool Australia.

They provide a simple way to invest, eliminating the need to choose individual shares.

But which ASX ETFs could be worth considering in 2026? Let's take a look at five funds that are highly rated for a reason. They are as follows:

iShares S&P 500 ETF (ASX: IVV)

The first ASX ETF to consider is the iShares S&P 500 ETF.

With a single investment, this fund provides access to a large slice of the US share market, which remains home to many of the world's strongest companies.

Among its 500 holdings are names such as Microsoft (NASDAQ: MSFT), Amazon (NASDAQ: AMZN), and McDonald's (NYSE: MCD).

For investors wanting US exposure through the ASX, this fund remains one of the cleanest ways to do it.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

Another ASX ETF worth looking at is the Vanguard MSCI Index International Shares ETF.

It provides exposure to developed markets outside Australia, including the United States, Europe, Japan, and other major economies.

This makes it broader than a single-country ETF. It gives investors access to thousands of companies across multiple regions and industries, helping reduce reliance on the Australian market.

Its holdings include Apple (NASDAQ: AAPL), NVIDIA (NASDAQ: NVDA), and Nestle (SWX: NESN).

Betashares Nasdaq 100 ETF (ASX: NDQ)

A third ASX ETF to consider buying is the Betashares Nasdaq 100 ETF.

This fund is more concentrated than broad global funds. It gives investors exposure to many of the companies shaping digital consumption, artificial intelligence, cloud computing, software, and online services.

Its holdings include Alphabet (NASDAQ: GOOG), Tesla (NASDAQ: TSLA), and Broadcom (NASDAQ: AVGO).

The fund can be more volatile than broader ETFs because of its technology-heavy profile. However, it also provides exposure to some of the strongest growth businesses in the world.

VanEck Morningstar Wide Moat ETF (ASX: MOAT)

Another ASX ETF to look at is the popular VanEck Morningstar Wide Moat ETF.

It takes a more selective approach to the US market. It focuses on companies that have sustainable competitive advantages, while also considering valuation.

Its holdings include companies such as Nike (NYSE: NKE), Airbnb (NASDAQ: ABNB), and Amazon (NASDAQ: AMZN).

For investors who want exposure to quality US companies without simply tracking the broader market, the VanEck Morningstar Wide Moat ETF could be worth a closer look.

Betashares Global Cybersecurity ETF (ASX: HACK)

A final ASX ETF that stands out is the Betashares Global Cybersecurity ETF.

Cybersecurity has become a core spending priority for businesses and governments. As more data, payments, systems, and customer interactions move online, the need to protect digital infrastructure keeps growing.

This fund provides exposure to global companies involved in cybersecurity software, hardware, and services. Its holdings include Palo Alto Networks (NASDAQ: PANW), CrowdStrike (NASDAQ: CRWD), and Cisco Systems (NASDAQ: CSCO).

This is a more targeted ETF, so it may not suit every investor. But for those wanting exposure to a long-term technology theme, it could be worth considering.

The post 5 of the best ASX ETFs to buy and hold in 2026 appeared first on The Motley Fool Australia.