When I look for growth shares, I focus on businesses with large opportunities ahead of them and clear drivers that could push earnings significantly higher over time.

Right now, two ASX growth stocks that look particularly interesting to me are Xero Ltd (ASX: XRO) and NextDC Ltd (ASX: NXT).

I’m not alone in thinking this. A leading broker also supports this view and is recommending them as buys.

Why I think Xero is an ASX growth stock to buy

Xero has built one of the leading cloud accounting platforms in the world.

The company provides accounting software used by small businesses, accountants, and bookkeepers to manage finances, payroll, invoicing, and tax reporting. What makes the model powerful is that it operates as a subscription service, which creates a recurring revenue stream that grows as more customers join the platform.

As we covered here recently, analysts at Morgans believe the long-term growth opportunity for Xero remains compelling. I agree with their view that cloud accounting adoption still has plenty of room to expand globally.

The broker explains that “Xero is a global accounting software provider. It offers an attractive medium term growth opportunity as subscriber momentum improves and operating leverage begins to flow through the business model.”

Another reason Morgans sees upside is the company’s expanding ecosystem. Xero has steadily added additional services and integrations around its core accounting software, which increases the value of the platform for customers.

Morgans also believes the company’s improved cost discipline is helping strengthen profitability. The broker adds that “recent cost discipline has strengthened margins… resilient revenue growth is supported by price increases and a broader ecosystem of adjacent services.”

Importantly, I agree with its analysts’ view that the current share price is an attractive entry point for long-term investors, and believe the ASX growth stock could have meaningful upside if it continues executing on its strategy.

The bull case for NextDC

NextDC is another ASX growth stock I think could be set up for massive gains. It operates data centres that support the digital infrastructure powering cloud computing, artificial intelligence (AI), and enterprise data storage.

As businesses increasingly move workloads to the cloud and demand for AI computing power rises, the need for high-quality data centre infrastructure continues to grow.

Morgans is also recommending this stock. It was blown away with its first-half performance, highlighting that recent contract momentum shows how strong demand for NextDC’s facilities currently is.

The broker points out that “NextDC sold more MWs in the month of December 2025 than in the preceding 36 months combined,” describing the period as a record for enterprise and hyperscale sales.

I think these contracts are significant because they provide long-term revenue visibility. Morgans notes that the company now has 416 megawatts of contracted capacity, which “underpins FY29 underlying EBITDA of greater than $700 million without new contract wins.”

Despite this incredible growth outlook, the broker believes the valuation still looks attractive. Morgans states that the company is trading on an “undemanding ~22x EV/contracted EBITDA, with upside potential.”

Foolish takeaway

Growth investing often comes down to identifying businesses operating in large markets with strong long-term demand.

Xero is benefiting from the ongoing global shift toward cloud accounting software, while NextDC is positioned at the centre of the rapidly expanding digital infrastructure and AI computing market.

With supportive broker views and significant growth opportunities ahead, I think both ASX shares could be well placed to deliver strong gains in 2026 and beyond.

The post 2 ASX growth stocks set up for massive gains in 2026+ appeared first on The Motley Fool Australia.

More reading

• Sell alert! Why this top analyst is calling time on Xero and CSL shares
• Why investors are piling back into these ASX tech shares today
• 2 Aussie stocks primed to surge in 2026
• 2 ASX 200 shares you’ll be glad you held for 10 years
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Grace Alvino 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 Xero. The Motley Fool Australia has positions in and has recommended Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Woolworths Group Ltd (ASX: WOW) share price jumped an incredible 13% after reporting its FY26 half-year result. This led to the supermarket business reaching a level not seen since 2024, as the below chart shows.

The business is the name behind Woolworths supermarkets in Australia, Countdown supermarkets in New Zealand, BIG W, Petstock, PFD (supplying businesses) and more.

The underlying HY26 result numbers were solid and the trading update for the second half of FY26 was particularly appealing. They seemed to show the business is turning its sales, margins and net profit around.

Strong performance in the HY26 result

In the first six months of FY26, before significant items, sales increased 3.4% to $37.1 billion, operating profit (EBIT) 14.4% to $1.66 billion and net profit grew 16.4% to $859 million.

The most important division, Australian food division delivered 3.6% to $27.6 billion and food EBIT increased 9.9% to $1.5 billion.

The business to business (B2B) segment grew sales to $3.1 billion and its EBIT rose 14.6% to $89 million.

New Zealand food sales went up 0.6% to $3.9 billion and EBIT increased 19.8% to $89 million.

W Living sales increased 2.7% to $3.1 billion and EBIT soared 185.6% to $96 million.

Every division achieved sales growth and higher EBIT margins, helping profit rise at a faster pace.

The trading update was particularly promising because it may signify it is regaining its appeal to shoppers compared to main rival Coles Group Ltd (ASX: COL).

In the first seven weeks of the second half of FY26, Australian food sales grew by 5.8% (it was 7.2% growth excluding tobacco). Woolworths food sales were driven strong store item growth and e-commerce growth. However, part of this growth was down to cycling residual industrial action in the prior corresponding period.

Woolworths is expecting the Australian food EBIT “to be at the upper end of the mid-to-high single digit range” guidance that it gave in August. The optimism is based on the performance in the FY26 first half and improved trading momentum.

Another sign of the company’s improving confidence was the fact that the board of directors decided to hike the interim dividend per share by 15.4% to 45 cent. Not a 3% increase, not 5%, not 10%. That’s a confident increase.

Is the Woolworths share price a buy?

One result doesn’t mean it has entered into a new era. But, an intense focus on giving customers the products they want at good value in a convenient way should (continue to) get a good response from consumers.

Its scale benefits, supply chain and e-commerce capabilities are clear advantages that it should continue to capitalise on (and invest in).

I think the business has turned a corner, though it needs to continue what’s working. But, it’s not exactly a cheap bargain because it has already risen significantly in the last few weeks.

The post Could this really be the turning point for Woolworths shares? appeared first on The Motley Fool Australia.

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• The easiest way to earn $1,000 a month in ASX dividends
• Are Coles or Woolworths shares a better buy right now?
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• Experts rate these 2 ASX blue-chip shares as strong buys this month

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Woolworths Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

DroneShield Ltd (ASX: DRO) shares have been incredible performers over the past 12 months.

During this time, the counter-drone technology company’s shares have risen over 380% and currently trade at $4.07.

To put that into context, a $5,000 investment a year ago would now be worth approximately $24,000.

But those returns are now behind us. Could DroneShield shares double again this year? Let’s find out.

Could DroneShield shares double?

It is worth remembering that nobody can say with certainty whether a share price will go higher, let alone double in value. But that doesn’t mean that we can’t consider whether it is a possibility.

Firstly, at the current share price, DroneShield has a market capitalisation of $3.75 billion.

This means that if its shares were to double, it would take the company’s market capitalisation to $7.5 billion.

That’s more than retail giant Harvey Norman Holdings Ltd (ASX: HVN), Dan Murphy’s owner Endeavour Group Ltd (ASX: EDV), and energy giant AGL Energy Limited (ASX: AGL).

That sort of valuation might be a bit of a stretch based on its current sales and profits, but there’s no reason why it couldn’t get there in the next few years if its strong momentum continues.

For now, I would say the probability of its shares doubling is low. But I would also never rule anything out with this market darling.

What are brokers saying?

The team at Bell Potter is bullish on DroneShield shares. However, not to the point that the broker believes they could double in value over the next 12 months.

According to a recent note, the broker has a buy rating and $4.80 price target on its shares.

Based on its current share price of $4.07, this implies potential upside of 18% for investors over the next 12 months.

While not a 100% gain, this is still comfortably ahead of the average annual share market return of around 10%. So, it certainly isn’t something to be sniffed at!

Commenting on its buy recommendation, Bell Potter said:

We believe DRO has a market leading RF detect/defeat C-UAS offering and a strengthening competitive advantage owing to its years of battlefield experience and large and focused R&D team. We expect 2026 will be an inflection point for the global C-UAS industry with countries poised to unleash a wave of spending on RF detect and defeat solutions.

Consequently, we believe DRO should see material contracts flowing from its $2.3b potential sales pipeline over the next 3-6 months as defence budgets roll over to FY26e. At 35x CY26e EV / EBITDA, DRO trades at a discount to the global drone peer group. Further, we see upside risk to our revenue forecasts in CY26/27e, given the opportunities observed in the C-UAS industry.

The post Could DroneShield shares double again in 2026? appeared first on The Motley Fool Australia.

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• Here are the top 10 ASX 200 shares today
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• What is Morgans’ updated view on Endeavour shares?

When building a retirement portfolio, my focus would be slightly different than when investing earlier in life. Growth would still matter, but stability and income would become much more important.

Rather than concentrating everything in one sector, I would spread the portfolio across several parts of the market and combine that with broad exchange-traded funds (ETFs).

Here’s how I would do it.

Half in reliable ASX dividend shares

For the first half of the portfolio, I would focus on dependable Australian companies with a history of generating strong cash flow and paying dividends.

Infrastructure would be one area I would want exposure to. Businesses that own long-life assets such as toll roads or energy infrastructure often produce predictable revenue streams, which can support stable dividends. Companies like Transurban Group (ASX: TCL) and APA Group (ASX: APA) are examples of the type of infrastructure exposure that can play a role in income-focused portfolios.

I would also want exposure to defensive consumer businesses. Supermarkets and essential retail tend to hold up relatively well during economic downturns because households continue spending on everyday goods. Businesses such as Woolworths Group Ltd (ASX: WOW) fall into this category and can add stability to a portfolio.

Banks would likely form another part of the mix. Australian banks have historically paid attractive fully franked dividends and remain some of the largest income generators on the ASX. Institutions such as Commonwealth Bank of Australia (ASX: CBA) and Macquarie Group Ltd (ASX: MQG) often play a role in income-focused portfolios for that reason.

I would also include exposure to the resources sector for balance. Mining companies can be cyclical, but the major diversified miners have historically returned large amounts of cash to shareholders when commodity markets are strong. Companies like BHP Group Ltd (ASX: BHP) or Rio Tinto Ltd (ASX: RIO) could provide that element of the portfolio.

Together, a diversified group of high-quality dividend stocks across these sectors could form the foundation of the portfolio’s income.

Half in diversified ETFs

The remaining half of the retirement portfolio I would allocate to broad ETFs.

This would help diversify the portfolio beyond Australia and reduce reliance on any single company or sector. It also provides exposure to hundreds or even thousands of businesses across global markets.

One option could be the VanEck MSCI International Quality ETF (ASX: QUAL), which focuses on global companies with strong balance sheets, high returns on equity, and stable earnings growth.

Another ETF that could complement this is the iShares S&P 500 AUD ETF (ASX: IVV), which provides exposure to the 500 largest companies on Wall Street.

Adding ETFs like these would bring global diversification to the portfolio while still allowing the Australian dividend stocks to do most of the heavy lifting on income.

Retirement income

Based on the above, I would be expecting a dividend yield in the region of 3% to 4% from this ASX retirement portfolio.

That means with $1 million invested, I would expect to be receiving income of $30,000 to $40,000 each year.

But it shouldn’t stop there. The way this portfolio is set up, I would expect my income to increase each year that it is operational.

Foolish takeaway

If I were building a $1 million ASX retirement portfolio, my focus would be on balance.

Roughly half could be invested in reliable Australian dividend shares across sectors such as infrastructure, banking, consumer staples, and resources.

The other half could sit in diversified ETFs to provide global exposure and long-term growth.

Together, that type of portfolio could potentially deliver an income stream around the 3% to 4% mark while remaining diversified enough to weather different market conditions over time.

The post This would be my $1 million ASX retirement portfolio appeared first on The Motley Fool Australia.

More reading

• Here is the average Australian superannuation balance at age 67 in 2026
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• Can Vanguard’s new S&P 500 fund topple the IVV ETF?
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• Why BHP, Northern Star, Resimac, and Tivan shares are falling today

Motley Fool contributor Grace Alvino has positions in Commonwealth Bank Of Australia and Transurban Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group, Transurban Group, and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended Apa Group, Macquarie Group, Transurban Group, and Woolworths Group. The Motley Fool Australia has recommended BHP Group 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.

Turning 67 is a significant milestone for Australians.

Not only is it around the age when many people decide to leave the workforce, it is also the age when Australians become eligible for the Age Pension.

By this point, superannuation moves from being a long-term savings vehicle to something far more immediate. The foundation of your retirement income.

That naturally raises an important question: how much superannuation do Australians typically have by the time they reach retirement age?

Before revealing the average balance, it might be helpful to understand what retirees reportedly need.

What does retirement cost in Australia?

According to the Association of Superannuation Funds of Australia (ASFA), retirement spending generally falls into two categories: modest and comfortable.

A comfortable retirement allows retirees to enjoy a good standard of living. This includes covering everyday expenses, maintaining private health insurance, running a car, enjoying leisure activities, and taking occasional holidays.

Based on ASFA’s latest Retirement Standard, this lifestyle requires annual spending of about $54,840 for singles and $77,375 for couples.

To support that level of spending, ASFA estimates retirees need approximately $630,000 in super for a single person and $730,000 combined for a couple, assuming they own their home outright and are in relatively good health.

A modest retirement, on the other hand, sits slightly above the Age Pension and covers essential living costs with limited discretionary spending. For that lifestyle, ASFA suggests a super balance of $110,000 for singles and $120,000 for couples.

With those benchmarks in mind, how do Australians actually compare by the time they reach 67?

What is the average Australian superannuation balance at pension age?

Looking at national data provided by Rest Super, Australians aged 65–69 hold average superannuation balances of roughly $392,000 for women and $448,000 for men.

That means a typical couple approaching retirement age may have a combined super balance of around $800,000 to $850,000.

While averages don’t tell the full story and, for example, don’t include funds sitting in a Commonwealth Bank of Australia (ASX: CBA) bank account, they suggest many couples retiring around 67 are broadly within reach of ASFA’s comfortable retirement benchmark, particularly when the Age Pension is factored in as a supplementary income source.

For singles, however, the picture can be a little tighter. Average balances are below the $630,000 benchmark, meaning many retirees rely partly on the Age Pension to maintain their desired lifestyle.

Foolish takeaway

The average Australian reaching age 67 in 2026 has a super balance somewhere in the $390,000 to $450,000 range, with couples typically sitting higher when their savings are combined.

While that doesn’t guarantee a comfortable retirement for everyone, it shows many Australians are entering retirement with meaningful financial resources.

Ultimately, the number itself matters less than how it’s used. Managing spending, investing wisely, and understanding the role of the Age Pension can make a far bigger difference to retirement outcomes than simply chasing a single perfect balance.

The post Here is the average Australian superannuation balance at age 67 in 2026 appeared first on The Motley Fool Australia.

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• Sell alert! Why this expert is calling time on Wesfarmers and CBA shares
• How much have investors made in big four bank shares over the past year?
• Buy, hold, sell: Bannerman, CBA, and Telstra shares

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 no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The idea of buying something and holding it forever might sound unrealistic. Markets move, sectors fall in and out of favour, and new technologies constantly reshape industries.

But some investments are designed to adapt to those changes. Exchange traded funds (ETFs) that focus on powerful global trends or constantly evolving groups of companies can be particularly well suited to long-term investors.

With that in mind, here are three ASX ETFs that could be strong candidates for a buy and hold forever strategy.

Betashares Nasdaq 100 ETF (ASX: NDQ)

One ETF that has built a reputation for long-term wealth creation is the Betashares Nasdaq 100 ETF.

This fund tracks the Nasdaq 100 index, which contains many of the world’s most innovative companies. These businesses are often responsible for the products and platforms that shape how we live, work, and communicate.

Within the portfolio are companies such as Apple (NASDAQ: AAPL), Microsoft (NASDAQ: MSFT), and Nvidia (NASDAQ: NVDA). These businesses are not just large technology companies. They are key infrastructure providers for the digital economy, from smartphones and operating systems to artificial intelligence computing power.

The index also evolves over time. As new leaders emerge and older businesses fade, the index adjusts. That means investors remain exposed to the companies driving the next wave of innovation.

Betashares Global Quality Leaders ETF (ASX: QLTY)

Another ASX ETF that could be worth holding for the long term is the Betashares Global Quality Leaders ETF.

Rather than targeting a particular sector or theme, this fund focuses on companies with strong financial characteristics. It screens for businesses that consistently generate high returns on equity, stable earnings, and solid balance sheets.

These types of companies often dominate their industries and maintain advantages that competitors struggle to replicate.

Examples from the portfolio include companies such as Mastercard (NYSE: MA), which benefits from the global shift toward digital payments, Intuit (NASDAQ: INTU), a leader in financial software, and Linde (NASDAQ: LIN), a global industrial gases giant that plays an important role in manufacturing and healthcare.

By concentrating on businesses with strong competitive positions, the fund aims to capture long-term compounding rather than short-term market trends. It was recently recommended by analysts at Betashares.

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The Betashares Asia Technology Tigers ETF provides exposure to a different but equally powerful growth story.

This fund focuses on leading technology companies across Asia, particularly in China, South Korea, and Taiwan. These businesses are deeply embedded in the digital infrastructure of some of the world’s fastest-growing economies.

Holdings include companies such as Taiwan Semiconductor Manufacturing Company (NYSE: TSM), the world’s most advanced chip manufacturer, Tencent (SEHK: 700), which operates one of the largest digital ecosystems in China, and Baidu (NASDAQ: BIDU), a major player in search, artificial intelligence, and autonomous driving technologies.

As internet usage, digital payments, cloud computing, and AI adoption continue expanding across Asia, these companies could remain central to the region’s technological development for many years.

The post 3 of the best ASX ETFs to buy and hold forever appeared first on The Motley Fool Australia.

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• How to build a $250,000 ASX share portfolio from scratch today

Motley Fool contributor James Mickleboro has positions in BetaShares Nasdaq 100 ETF and Betashares Capital – Asia Technology Tigers Etf. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, Baidu, BetaShares Nasdaq 100 ETF, Intuit, Mastercard, Microsoft, Nvidia, Taiwan Semiconductor Manufacturing, and Tencent and is short shares of Apple and BetaShares Nasdaq 100 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Linde. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Apple, Mastercard, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

S&P/ASX 300 Index (ASX: XKO) uranium share Bannerman Energy Ltd (ASX: BMN) has made some very happy investors over the past year.

How happy?

Well, a year ago, you could have picked up Bannerman Energy shares for $2.24. At Friday’s close, those shares were changing hands for $4.21 each. That sees the ASX 300 uranium share up a very impressive 87.95% over 12 months.

For context, the ASX 300 has gained 9.52% over the same period.

But if you think the ship has sailed on the potential outsized gains from the Aussie uranium company, you might want to have another look.

That’s according to Fairmont Equities’ Michael Gable, who expects the stars are aligning to deliver more outperformance from Bannerman Energy shares (courtesy of The Bull).

Should you buy the ASX 300 uranium share today?

“Bannerman is a uranium development company,” said Gable, who has a buy recommendation on the ASX 300 uranium share. “Its flagship Etango project is based in Namibia.”

One of the reasons for Gable’s bullish outlook on Bannerman Energy shares is the potential looming shortfall in global uranium supplies.

“The uranium sector continues to appeal because demand should continue to outpace supply for the next several years,” he said.

Indeed, in Shaw and Partners’ new Uranium Super-Cycle report, the broker said it expects that structural supply deficits, accelerating nuclear demand, and tightening fuel contracting cycles will see the uranium spot price hit US$175 per pound in 2027. Uranium was trading for around US$88 per pound this past week.

Fairmont Equities Gable is also encouraged by Bannerman’s JV deal with the China National Nuclear Corporation.

According to Gable:

The company recently announced a joint venture with the China National Nuclear Corporation. The deal de-risks the Etango project and reduces funding risk involving development. BMN is exposed to potential upside in uranium prices. The shares have risen from $2.35 on August 20, 2025 to trade at $4.50 on February 26, 2026.

The ASX 300 uranium share announced its JV deal on 13 February.

Commenting on the JV Etango funding deal on the day, Bannerman Energy executive chairman Brandon Munro said:

By enabling the debt-free construction of Etango, this solution maximises flexibility and dramatically derisks the construction and ramp-up phases of project execution.

It also delivers us a Tier-1 cornerstone offtake partner on genuine and market terms, ensuring Bannerman remains strongly exposed to future uranium price upside potential.

The post Up 88% in a year, why this ASX 300 uranium share is forecast to keep running hot appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

When you’re starting out in the share market, it can feel overwhelming. There are thousands of shares, ETFs, and strategies to choose from.

But investing does not need to be complicated.

If I were starting with $10,000 in 2026, I would focus on building a simple portfolio that provides exposure to global growth, the Australian market, and assets that can help during uncertain times.

Here is a straightforward way to do it.

$5,000 – Betashares Nasdaq 100 ETF (ASX: NDQ)

If there is one place in the world where innovation is moving fast, it is the United States tech sector.

The Betashares Nasdaq 100 ETF tracks the NASDAQ-100 Index (NASDAQ: NDX), which includes many of the world’s most influential technology companies.

Its holdings include global giants such as Apple, Microsoft, and Nvidia, alongside major consumer and technology businesses that dominate the digital economy.

These companies sit at the centre of powerful long-term trends, including artificial intelligence (AI), cloud computing, semiconductors, and digital infrastructure.

Over time, these growth drivers have helped technology stocks deliver some of the strongest returns in global markets.

For investors looking for long-term capital growth, the NDQ ETF can act as the growth engine of a portfolio.

By allocating $5,000, investors gain exposure to many of the world’s most innovative companies through a single ASX-listed ETF.

$3,000 – ASX 200 Index

While global technology offers strong growth potential, investors should not ignore the strength of the Australian share market.

The S&P/ASX 200 Index (ASX: XJO) represents the 200 largest companies listed on the ASX, covering around 77% of Australia’s share market capitalisation.

The index includes major banks such as Commonwealth Bank of Australia (ASX: CBA), resource giants like BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO), and leading companies across sectors, including healthcare, retail, and telecommunications.

The ASX is also well known for producing reliable dividend income, particularly from banks and mining companies.

That makes the ASX 200 an ideal foundation for stability and income within a portfolio.

Allocating $3,000 to an ASX 200 ETF gives investors exposure to Australia’s largest companies while also benefiting from long-term growth and dividends.

$2,000 – Precious metals

No portfolio is complete without some diversification.

Precious metals can play an important role as a hedge against inflation, currency debasement, and global economic uncertainty.

The Global X Physical Silver ETF (ASX: ETPMAG) gives investors direct exposure to the price of physical silver held in vaults.

Silver is particularly interesting because it acts both as a precious metal and an industrial metal, with growing demand from sectors such as solar panels, electronics, and electric vehicles.

Another option is the Global X Physical Precious Metal Basket ETF (ASX: ETPMPM), which provides exposure to a mix of metals, including gold, silver, platinum, and palladium.

Allocating $2,000 to precious metals can help balance a portfolio during periods of market volatility.

Foolish Takeaway

With $10,000, a mix of global tech growth, Australian market exposure, and precious metals diversification can provide a simple starting portfolio.

This approach spreads risk across different markets, industries, and asset classes while keeping the strategy easy to understand.

The post Don’t overthink it: The best $10,000 approach to start investing in 2026 appeared first on The Motley Fool Australia.

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• Is the ASX 200 ok?
• Superannuation check up: Here’s how much you should have saved by age 40, 50 and 60
• Passive income: How much would I need to invest in ASX shares to earn $1,000 every month?

Motley Fool contributor Aaron Teboneras 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, BetaShares Nasdaq 100 ETF, Microsoft, and Nvidia and is short shares of Apple and BetaShares Nasdaq 100 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Apple, BHP Group, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Huge ASX dividend yields are rare to find on the ASX, particularly ones that are able to maintain/grow that payout each year.

I think there are some businesses that can deliver yields of more than 9%, or even 10%, and sustain those payouts year after year.

Large dividend yields aren’t necessarily always the right pick for investors if they’re in a high tax bracket, because it can mean losing a fair bit of the return to tax each year. But, for investors who do want a large payout, I think the listed investment company (LIC) Hearts and Minds Investments Ltd (ASX: HM1) could be the right call for a few reasons.

Large and growing dividend

The business is on track to deliver a very high dividend yield in 2026, with further growth expected in the subsequent financial years.

In its recent FY26 half-year results, it declared an interim dividend of 9.5 cents per share. It said it’s “confident in the company’s ability to maintain its dividend policy, and its stated intention of increasing fully franked dividends by 0.5 cents every six months for the foreseeable future.”

That suggests the next dividends to be declared will be 10 cents and 10.5 cents, which amounts to an annual grossed-up ASX dividend yield of 10.75%, including franking credits.

At the time of writing, the ASX dividend share has a profit reserve of 83 cents per share, so there is ample room (in accounting terms) to continue increasing the payout for a few years.

Diversification

The ASX share is not just managed by one fund management outfit like many other LICs. Instead, its portfolio is constructed by multiple investment professionals.

Some of the portfolio is decided by a group of core portfolio managers who contribute ideas. Other portfolio picks come from an annual investment conference, where various investment professionals pitch a stock they believe could be a good investment for the next year.

Therefore, the overall portfolio isn’t following any particular strategy, theme, or industry; it results in a portfolio that’s quite diversified across industries and countries. I think it’s a good option to ensure that we’re not too exposed to one company or industry.  

These fund managers and investment professionals work for free so that the business can donate 1.5% of its net assets each year to medical research.

Solid returns

Past performance is not a guarantee of future returns, of course.

However, it’s the LIC’s investment returns that make the accounting profits, which then fund the ASX dividend yield.

At the end of January, Hearts & Minds reported that its investment returns over the prior three years had been an average of 12.4% per year. Recent volatility may have dampened its returns in recent weeks, though.

I think it looks good value, trading at an 18% discount (at the time of writing) to the pre-tax net tangible assets (NTA) per share value of $3.33, at 27 February 2026.

The post A once-in-a-lifetime opportunity to snap up this 10.75% ASX dividend yield? appeared first on The Motley Fool Australia.

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• Get paid huge amounts of cash to own these ASX dividend shares
• This 10% yield is one I’m comfortable holding for the long-term

Motley Fool contributor Tristan Harrison has positions in Hearts And Minds Investments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Some ASX exchange-traded funds (ETFs) dominate headlines and investor portfolios.

For example, funds tracking the S&P 500 or the Nasdaq 100 indices are widely discussed and heavily owned.

But the Australian ETF market is far broader than those familiar names. In fact, a number of lesser-known funds provide exposure to interesting strategies, sectors, and regions that could play an important role in a diversified portfolio.

Here are five ASX ETFs that may not always grab the spotlight but could still be worth a closer look.

Betashares Global Cash Flow Kings ETF (ASX: CFLO)

The Betashares Global Cash Flow Kings ETF focuses on a metric that many investors overlook: free cash flow.

Instead of simply selecting companies based on size or revenue growth, this fund targets businesses that generate large amounts of cash relative to their market value. That cash can be reinvested into growth, used for acquisitions, or returned to shareholders.

Its holdings include companies such as ASML (NASDAQ: ASML), Alphabet (NASDAQ: GOOGL), and Visa (NYSE: V). These are businesses with strong competitive positions and the ability to generate significant cash flows year after year.

By focusing on this financial strength, the Betashares Global Cash Flow Kings ETF aims to capture companies that combine quality with shareholder-friendly economics.

Betashares India Quality ETF (ASX: IIND)

India is one of the fastest-growing major economies in the world, but it remains underrepresented in many global portfolios.

The Betashares India Quality ETF gives investors exposure to leading Indian companies that meet strict quality and profitability criteria.

The portfolio includes businesses such as Infosys (NYSE: INFY), which is a global IT services leader, and HDFC Bank (NSEI: HDFCBANK), one of India’s largest private sector banks.

With a young population, rising middle-class consumption, and increasing digital adoption, India’s economy could expand significantly over the coming decades. This ETF provides a focused way to participate in that growth.

VanEck Global Defence ETF (ASX: ARMR)

Defence spending is rising around the world as governments increase military investment and modernise their capabilities.

The VanEck Global Defence ETF provides exposure to companies that supply equipment, technology, and services to defence organisations.

Its holdings include major defence contractors such as Lockheed Martin (NYSE: LMT), Northrop Grumman (NYSE: NOC), and BAE Systems (LSE: BA).

These businesses often operate under long-term government contracts, which can provide stable revenues and strong visibility over future earnings.

iShares Global Consumer Staples ETF (ASX: IXI)

While many ETFs focus on high-growth industries, the iShares Global Consumer Staples ETF takes a different approach.

This fund invests in companies that produce everyday goods such as food, beverages, and household products. These businesses tend to benefit from steady demand regardless of economic conditions.

Holdings include global giants like Procter & Gamble (NYSE: PG), Coca-Cola (NYSE: KO), and Costco Wholesale (NASDAQ: COST).

Although they may not deliver explosive growth, these companies often provide reliable earnings and strong brand power that can endure for decades.

Global X Battery Tech & Lithium ETF (ASX: ACDC)

The shift toward electrification and renewable energy is driving strong demand for battery technology and lithium.

The Global X Battery Tech & Lithium ETF focuses on companies involved in battery production, electric vehicles, and lithium mining.

Its portfolio includes companies such as Contemporary Amperex Technology, which is one of the world’s largest battery manufacturers, and Albemarle (NYSE: ALB), a major lithium producer.

As electric vehicles, energy storage, and clean energy infrastructure continue expanding, companies linked to this supply chain could play an increasingly important role in the global economy.

The post 5 excellent ASX ETFs flying under the radar appeared first on The Motley Fool Australia.

More reading

• 5 simple ASX ETFs to build a long-term portfolio around
• Which ASX ETFs are investors flocking to amidst volatility?
• 3 of the best ASX ETFs to buy in March
• What is the best global defence ASX ETF?
• 5 fantastic ASX ETFs to buy and hold for 10 years

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 ASML, Alphabet, Costco Wholesale, and Visa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended BAE Systems, HDFC Bank, and Lockheed Martin. The Motley Fool Australia has positions in and has recommended iShares International Equity ETFs – iShares Global Consumer Staples ETF. The Motley Fool Australia has recommended ASML, Alphabet, and Visa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.