The war that the United States of America and Israel launched against Iran at the start of this month has comprehensively changed the investing landscape. Many ASX shares that were previously expecting to have a relatively smooth 2026 are now wargaming the supply of their most basic inputs – energy. Investors with ASX share portfolios would be forgiven for wondering how to chart a course forward. 

Of course, the energy shock that has resulted from this war is still reverberating through the global economy. We don’t yet know whether the Strait of Hormuz will be closed for another day or another year. 

What we do know is that things will be different, in both the Australian and global economies, for a while.

So how do we account for these differences in our own ASX share portfolios?

Well, I think there are three things investors can do.

Three ways to position an ASX share portfolio for 2026

Firstly, ASX investors can focus on finding and owning shares of companies that possess a moat, or an intrinsic competitive advantage that can protect them from inflation, recessions, and other potential economic maladies in 2026. ‘Moats’ are a concept initially coined by legendary investor Warren Buffett, who only tends to buy companies that he thinks possess at least one wide moat. This could be a cost advantage, a powerful brand that inspires loyalty, or else making a good or service that investors find difficult to avoid buying.   

Companies that possess these moats are usually the most resilient in the markets. They tend to survive the bad times and thrive when the global economy is booming.

Secondly, investors can take advantage of higher interest rates. Few Australians get excited when the Reserve Bank of Australia (RBA) lifts rates, as it did at the start of this month. But while higher rates make loans and mortgages more expensive to service, they also increase the returns of cash and fixed-interest investments. With term deposit rates now above 5%, there’s nothing wrong, at least in my view, with parking your surplus cash in the bank rather than the share market if you are worried about where things might go next. After all, the interest rate on a term deposit is completely safe, unlike an investment in any ASX share.

This time it’s different?

Finally, and this might be tough to hear, investors might want to prepare for a rough 2026 by lowering their expectations. The past few years have been exceptionally lucrative for stock market investors. To illustrate, as of 28 February, the iShares Core S&P/ASX 200 ETF (ASX: IOZ) has averaged 12.15% per annum over the past three years, and hit 16.2% for the preceding 12 months. Those are uncommonly high returns for a simple ASX index fund. The longer-term average sits closer to 8% per annum.

I’m a firm believer in the enduring tendency for investing metrics to regress to their mean. As such, I wouldn’t be surprised to see a return of well below 12% for the ASX 200 in 2026, and possibly in 2027 and beyond as well.

The post The Iran war has changed investing. Here are 3 ways to position an ASX share portfolio appeared first on The Motley Fool Australia.

More reading

• A simple 3-ETF portfolio I’d use to build long-term wealth
• 3 ASX income stocks trading at attractive prices
• Here are the top 10 ASX 200 shares today
• ASX gold shares tumble as bull run faces its first big test in 1Q CY26
• Why I’d buy DroneShield and these ASX 200 shares next month

Motley Fool contributor Sebastian Bowen 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 I think about building long-term wealth, I’m a fan of simplicity.

Not necessarily because simple is easy, but because simple is repeatable.

The more complicated a portfolio becomes, the harder it is to stick with when markets get volatile. And in my experience, sticking with a strategy matters far more than constantly tweaking it.

If I were building a simple portfolio from scratch today, this is a three-exchange-traded funds (ETF) combination I would be very comfortable holding for years.

iShares S&P 500 ETF (ASX: IVV)

For me, any long-term portfolio needs exposure to the United States.

The iShares S&P 500 ETF gives access to 500 of the largest stocks in the US, but what stands out to me is not just the scale. It is the quality of earnings.

Many of these businesses generate significant cash flow, have global revenue streams, and sit at the centre of industries that continue to evolve. Technology, healthcare, financials, consumer brands. It is all there.

Even after a recent 11% pullback from its highs, I still see this as one of the most reliable ways to access global growth.

It is not about picking the next big winner. It is about owning the ecosystem where many of those winners are likely to come from.

BetaShares Australian Quality ETF (ASX: AQLT)

Where the IVV ETF gives broad exposure, the BetaShares Australian Quality ETF adds a filter.

This ETF is not trying to own everything in the Australian share market. It is trying to own what it considers the better parts of it.

That means focusing on companies with stronger balance sheets, more consistent earnings, and higher returns on capital.

I like that approach.

The Australian market can be heavily influenced by banks and miners, which have their place. But I think adding a quality tilt helps smooth out some of that cyclicality.

For me, the AQLT ETF is about refining the local exposure. It is not replacing the market, but shaping it in a way that leans toward resilience and consistency.

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

This is where things get more interesting. Asia is not always the easiest region to invest in directly. There are different markets, different regulatory environments, and varying levels of economic development.

That is why I like having it packaged into a single ETF.

The VAE ETF gives exposure to a wide range of economies that are still evolving, industrialising, and expanding their middle classes. It is a different growth profile compared to the US and Australia.

What I find compelling is that many of these economies are deeply embedded in global supply chains.

From semiconductors to manufacturing to digital platforms, Asia plays a critical role. And over time, I think that importance is likely to grow.

It will not always be smooth. But I believe that volatility is part of the opportunity.

Foolish Takeaway

Building long-term wealth does not require a complicated portfolio. For me, a simple combination of ETFs that covers global leaders, high-quality Australian shares, and Asian growth markets is more than enough.

The real challenge is not choosing the portfolio. It is staying invested and letting it work over time.

The post A simple 3-ETF portfolio I’d use to build long-term wealth appeared first on The Motley Fool Australia.

More reading

• Why this looks like a great time to buy the iShares S&P 500 ETF (IVV)
• Is it too late to start investing in ASX shares in your 40s?
• 5 of the best ASX ETFs to buy in April
• This simple ASX ETF strategy matters more than ever in today’s uncertain market
• Here are 5 ASX ETFs that I would buy with $50,000

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 iShares S&P 500 ETF. The Motley Fool Australia has recommended 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.

When the Australian share market is volatile, it makes sense that investors turn their attention to ASX income stocks.

The S&P/ASX 200 Index (ASX: XJO) has climbed 1% higher in Tuesday afternoon trade, but the index is still down 7% over the past month.

The index-wide sell-off means some ASX income stocks are now trading at very attractive prices. 

Here are three of them.

GQG Partners Inc (ASX: GQG)

GQG Partners’ shares are up 3.9% at the time of writing, to $1.74 a piece. For the year-to-date the shares are down 0.85% and they’re down nearly 18% over the past year.

The company posted strong FY25 earnings results in mid-February and a total funds under management (FUM) of US$172.9 billion for the month, up from US$165.7 billion in January, thanks to strong investment performance. 

But it looks like investors were concerned about the company’s net outflows. While the total FUM increased during February, GQG continues to face consecutive months of net outflows. 

But investors view the latest FUM growth update as a potential turning point for the company, with some expecting the FUM to keep increasing each month from here.

Analysts rate the stock as a buy and tip a potential 16.7% upside to $1.96 at the time of writing.

Dexus (ASX: DXS)

Dexus shares are also trading in the green on Tuesday afternoon. At the time of writing, the share price is up 0.2% to $5.93 a piece. For the year-to-date the shares are down nearly 15%, and they’re 16% below where they were this time last year.

The ASX income stock’s share price has tumbled off the back of concerns about Australia’s interest rate direction, high borrowing costs, and investor uncertainty. 

But the real estate stock is diverse with a steady and reliable income. And it’s this diversity and reliable income that enable Dexus to pay a reliable dividend to its investors. 

Analysts tip an average upside of 24% to $7.33 per share.

Endeavour Group (ASX: EDV)

Endeavour Group shares have tumbled 0.5% to $3.30 a piece, at the time of writing. 

The alcoholic beverages retailer, hotel operator, and poker machines operator’s share have been smashed by a pickup in inflation woes, market volatility and tighter spending during March. The shares are now down 18.5% over the past month alone and 14% lower over the past year.

The ASX income stock is at the beginning of a strategy reset which could help boost its bottom line. At the moment, the company generates a solid cash flow and pays a regular dividend. 

Analysts tip a potential 12% upside to $3.70 at the time of writing. 

The post 3 ASX income stocks trading at attractive prices appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• Wall Street just suffered its worst quarter in years. Is the ASX 200 next?
• 4 ASX shares at 52-week lows: Buy, hold, or sell?
• Challenger shares in focus as APRA unveils new capital rules
• Magellan Financial Group shares in focus after $20m share plan hits target

Motley Fool contributor Samantha Menzies 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 recommended Gqg Partners. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It was a wild, but ultimately positive Tuesday for the S&P/ASX 200 Index (ASX: XJO) today. Initially, investors were not in a good mood this morning. But that sentiment changed just before lunchtime and held for the rest of the afternoon as investors pushed the market higher. By the time the closing bell rang, the ASX 200 had recorded a 0.25% rise. That leaves the index at 8,481.8 points.

This optimistic session for the local markets followed a mixed start to the American trading week over on Wall Street in the early hours of this morning.

The Dow Jones Industrial Average Index (DJX: .DJI) managed to snatch a win from the jaws of defeat, rising by 0.11%.

The tech-heavy Nasdaq Composite Index (NASDAQ: .IXIC) wasn’t so lucky, though, falling 0.73%.

But let’s return to Australian shares now and take stock of how today’s indecisiveness affected the various ASX sectors this session.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

More reading

• 3 ASX income stocks trading at attractive prices
• ASX gold shares tumble as bull run faces its first big test in 1Q CY26
• Wall Street just suffered its worst quarter in years. Is the ASX 200 next?
• Xero, WiseTech shares jump higher today: Is this the beginning of a rebound?
• Why I’d buy dirt-cheap ASX shares now and aim to hold them for a decade

Motley Fool contributor Sebastian Bowen 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 SiteMinder, Temple & Webster Group, and Xero. The Motley Fool Australia has positions in and has recommended SiteMinder and Xero. The Motley Fool Australia has recommended Generation Development Group and Temple & Webster Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX gold shares tumbled 10.1% over the March quarter as a commodities sell-off and a new war tested the two-year gold bull run.

Gold shares have been on a multi-year tear due to a rapidly rising gold price creating exceptional earnings growth for ASX miners.

The gold price increased 65% in 2025, its greatest annual rise in more than four decades, and that came on top of a 27% gain in 2024.

The S&P/ASX All Ords Gold Index (ASX: XGD) rose 125% in 2025 and 16% in 2024, delivering investors some thrilling returns.

And then came the first real test for this magnificent period of growth.

How did 2026 begin?

The start of 2026 was amazing for ASX gold shares.

The gold price went crazy, rising 30% in less than a month on new year optimism and excitement.

The gold price soared from just over US$4,300 per ounce on 31 December to a record US$5,608 per ounce on 29 January.

ASX gold shares ascended strongly, rising 17.7% over these first few weeks of 2026.

Then came the steepest one-day fall for the gold price in more than a decade.

Gold plummeted 21% over just a few days to US$4,400 per ounce by 2 February.

The sell-off was triggered by the nomination of Kevin Warsh to be the next US Fed chair.

Warsh is known for his hawkish stance on interest rates, and investors worried he may not cut rates as fast as the market was hoping.

Higher-for-longer interest rates are a headwind for the gold price, given that gold is a non-yielding asset.

The Warsh nomination led to a fall in the gold price, followed by panic selling as investors sought to lock in their incredible gains.

ASX gold shares followed suit. The S&P/ASX All Ords Gold Index (ASX: XGD) fell 12.4% between 29 January and 2 February.

Despite the late-month sell-off, ASX gold shares managed an 11% net gain over the month of January.

ASX gold shares recover, then crash even harder

The gold price rebounded in February, rising to about US$5,300 per ounce by month’s end.

ASX gold shares also rose by 4.7%.

Then came the war.

On 28 February (US time), Israel and the US attacked Iran, claiming they did so to destroy Iran’s nuclear weapons capabilities.

That saw the gold price tank, and ASX gold shares went with it.

Trading Economics analysts say the gold price has experienced its worst monthly fall in March since October 2008, down about 13%.

ASX gold shares have followed the trend, diving 23.7% this month.

The analysts said:

The precious metal faced sustained pressure this month from an oil-driven inflation shock that pushed investors and policymakers toward a more hawkish stance on interest rates.

Meanwhile, Federal Reserve Chair Jerome Powell said long-term US inflation expectations appeared to remain anchored despite heightened uncertainties tied to the conflict.

He added that the central bank’s policy stance is well positioned to allow officials to assess the economic impact of the Iran war.

1Q CY26 performance

The ASX All Ords Gold Index finished the first quarter down 10.1%.

Let’s take a look at some specific ASX gold shares and their performance over the March quarter.

The market’s largest ASX gold share, Northern Star Resources Ltd (ASX: NST) fell 16.7% over the quarter to close at $20.36 today.

The Evolution Mining Ltd (ASX: EVN) share price edged 0.5% lower over the quarter to $12.62 today.

Newmont Corporation CDI (ASX: NEM) shares managed an 0.3% gain over 1Q CY26 to $151.55 today.

The Greatland Resources Ltd (ASX: GGP) share price rose 7.4% over the quarter to $11.34 on Tuesday.

Ramelius Resources Ltd (ASX: RMS) shares declined 13.2% to close out the March quarter at $3.67.

Perseus Mining Ltd (ASX: PRU) shares weakened 8.7% over the quarter to finish at $5.15 today.

Genesis Minerals Ltd (ASX: GMD) shares decreased 19.3% over the quarter to $5.89 today.

Westgold Resources Ltd (ASX: WGX) shares fell 8.7% over the quarter to $5.89 today.

The Regis Resources Ltd (ASX: RRL) share price lost 12.8% to finish the March quarter at $6.65.

The post ASX gold shares tumble as bull run faces its first big test in 1Q CY26 appeared first on The Motley Fool Australia.

More reading

• Why Northern Star, Newmont, and Evolution shares are rising today
• These 3 dirt-cheap ASX shares are tipped to climb another 50-90%
• After a major resource upgrade, how undervalued are Greatland shares looking?
• Why Challenger, Magellan, Northern Star, and West African Resources shares are storming higher
• Down 38% in March, should you buy the dip on Northern Star shares?

Motley Fool contributor Bronwyn Allen 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.

As we head into April, I find myself looking for a mix of opportunity and resilience.

Markets have been unsettled, some sectors have sold off sharply, and sentiment is still a bit fragile. 

But that is often when I like to start building positions in businesses with strong long-term potential.

Right now, three ASX shares stand out to me for very different reasons.

DroneShield Ltd (ASX: DRO)

DroneShield is one of the more interesting opportunities on the market right now, in my opinion.

What draws me to the company is its exposure to a rapidly evolving area of defence technology.

The use of drones in modern conflicts is increasing, and with that comes the need for effective counter-drone solutions. DroneShield is positioning itself right in the middle of that shift.

I see this as a structural trend rather than a short-term one. Defence spending is rising globally, and technologies that can detect, track, and neutralise drones are becoming more important. That creates a large and expanding addressable market.

Of course, this is not without risk. Smaller companies can be volatile, and contract timing can impact results.

But from a long-term perspective, I think DroneShield offers exposure to a theme that could play out over many years.

Netwealth Group Ltd (ASX: NWL)

Netwealth is a very different type of business. Where DroneShield is more thematic and emerging, Netwealth is a proven compounder benefiting from a structural shift in financial services.

The move toward independent financial advice and platform-based investing continues to gain momentum, and Netwealth has been one of the key beneficiaries.

What I like most here is the consistency. Funds under administration have grown steadily over time, supported by strong inflows and adviser adoption. That creates a recurring revenue base that can scale as the platform grows.

There will be competition, and valuations can fluctuate. But I think the long-term trend is clear, and Netwealth is well positioned within it.

Lovisa Holdings Ltd (ASX: LOV)

Lovisa adds a different flavour again. This ASX 200 share is a jewellery retail business that has demonstrated an ability to expand globally and grow earnings through its store rollout strategy.

What stands out to me is the pace of expansion. The company continues to open new stores across multiple regions, and that growth is supported by strong margins and a relatively simple operating model.

Retail can be cyclical, and consumer spending is not always predictable. But Lovisa’s focus on affordable fashion and fast product turnover gives it a level of flexibility.

I think it is one of the better examples of an Australian retailer successfully scaling internationally.

Foolish takeaway

As April arrives, I am not looking for one type of opportunity. I am looking for a mix.

DroneShield offers exposure to a powerful defence and technology trend, Netwealth provides steady platform-driven growth, and Lovisa brings global retail expansion. They are very different businesses, but each has a clear pathway to long-term growth.

The post Why I’d buy DroneShield and these ASX 200 shares next month appeared first on The Motley Fool Australia.

More reading

• 2 strong Australian stocks to buy now with $8,000
• Where to invest $10,000 in ASX 200 shares this April
• Leading brokers name 3 ASX shares to buy today
• Why are DroneShield shares trading higher today?
• What is Bell Potter saying about DroneShield and EOS shares this week?

Motley Fool contributor Grace Alvino has positions in DroneShield and Lovisa. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended DroneShield, Lovisa, and Netwealth Group and is short shares of DroneShield. The Motley Fool Australia has positions in and has recommended Netwealth Group. The Motley Fool Australia has recommended Lovisa. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

If I were thinking about building passive income from ASX shares, I would be looking for reliability.

I’d want businesses that generate consistent cash flow, have clear competitive advantages, and can return capital to shareholders year after year.

For me, Telstra Group Ltd (ASX: TLS) shares tick a lot of those boxes right now.

Here are five reasons why I would be comfortable buying its shares for income.

A business built on essential services

At its core, Telstra provides something that has become non-negotiable.

Connectivity.

Mobile networks, broadband, and infrastructure are now essential to everyday life. Individuals rely on them, businesses depend on them, and governments need them.

That gives Telstra a level of demand stability that I think is incredibly valuable for an income investment.

It is not a business that relies on discretionary spending. It is part of the backbone of the economy.

Strong and growing cash earnings

One thing I always look for in a dividend stock is whether the earnings actually support the payout.

In Telstra’s case, I think the answer is yes.

In the first half of FY26, the company delivered earnings growth across key segments, with management highlighting strong cost control and disciplined capital management as key drivers.

Importantly, it also achieved solid cash EBIT growth and positive operating leverage, which suggests the business is becoming more efficient over time.

That is exactly what I want to see backing a dividend.

A clear focus on sustainable dividends

Telstra has been very explicit about its dividend strategy.

Management has stated its aim to deliver a sustainable and growing dividend, supported by strong cash earnings and a long-term target of mid-single digit growth.

That’s important.

It tells me that dividends are not an afterthought. They are a core part of the company’s capital management framework.

The latest interim dividend of 10.5 cents per share, with high levels of franking, reinforces that commitment.

Additional capital returns

Income is not just about dividends.

Telstra is also returning capital through share buybacks, which can support earnings per share growth over time.

The company recently increased its on-market buyback to up to $1.25 billion, reflecting confidence in its financial position and outlook.

For me, that adds another layer to the investment case.

It suggests management sees value in the shares and is willing to return excess capital to shareholders.

Positioned for steady long-term growth

Telstra is not a high-growth company, and I think that is perfectly fine.

What I care about is steady, predictable progress.

The company’s Connected Future 30 strategy is focused on strengthening its core network, improving efficiency, and driving sustainable earnings growth over time.

It is not about chasing rapid expansion. It is about building a stronger, more resilient business.

For an income investor, I think that is exactly the right approach.

Foolish takeaway

Telstra may not be the most exciting ASX share, but I think it is one of the more dependable when it comes to passive income.

It operates in essential services, generates strong cash flow, and has a clear commitment to returning capital to shareholders.

With dividends supported by earnings and additional buybacks in play, I believe it offers a compelling mix of income and stability.

For me, that is exactly what I want from an ASX dividend stock.

The post 5 reasons why I’d buy Telstra shares for passive income appeared first on The Motley Fool Australia.

More reading

• Telstra just hit a 10-year high. Has this ASX income giant still got more to give?
• How to build a defensive ASX share portfolio in 2026
• 3 blue-chip ASX dividend shares to buy and hold
• How to become a millionaire with a $5,000 investment in ASX 200 shares each year
• Building an ASX share portfolio from scratch? Here’s my game plan

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

Telstra Group Ltd (ASX: TLS) shares pushed to another multi-year high on Tuesday, with investors continuing to back one of the ASX’s most dependable blue-chip income names.

In afternoon trade, the Telstra share price was up 0.28% to $5.355, after climbing as high as $5.37 earlier in the session.

That marks its highest level since August 2016, putting the stock back near levels not seen in almost a decade.

The move also extends Telstra’s 12-month gain to almost 30%, which is a strong return for a telecommunications stock that is usually known more for reliable dividends than big share price gains.

That performance is well ahead of the broader market. By comparison, the S&P/ASX 200 Index (ASX: XJO) has risen about 8% over the same period.

Why the Telstra share price keeps moving higher

The main reason behind Telstra’s strength is the market’s growing confidence in the company’s ability to keep lifting earnings.

Its recently announced mobile plan price increases, which begin in May, are expected to lift the average amount it earns from each customer. Brokers have previously noted that this should help make up for slower subscriber growth.

That ability to raise prices highlights the strength of Telstra’s network and brand. It also shows the company can protect profit margins even while consumers remain more careful with spending.

Investors are also still responding positively to February’s half-year result, which included another increase in its fully franked interim dividend to 10 cents per share, as well as ongoing progress with its buybackprogram.

This combination of dividend growth, capital returns, and consistent earnings continues to support demand for the stock.

What the chart is showing now

From a technical view, the move above the previous $5.25 to $5.30 resistance area looks important.

That level had capped the share price several times through March, so today’s move to $5.37 suggests buyers are still willing to keep pushing it higher.

The chart also shows the 14-day relative strength index (RSI) at around 69, which puts the stock close to overbought territory.

That points to strong momentum still being in place, especially with the share price continuing to track along the upper Bollinger band.

The next visible support area sits around $5.20 to $5.25. Below that, the old breakout zone near $5 could become a stronger floor over the medium term.

Foolish takeaway

Telstra’s climb to its highest level since 2016 reflects more than just defensive buying.

Investors are rewarding the company’s stronger pricing discipline, reliable dividend growth, and the consistency of its earnings base.

The stock’s momentum also remains firm, with the chart suggesting investors are still comfortable paying up for quality and yield.

The post Telstra just hit a 10-year high. Has this ASX income giant still got more to give? appeared first on The Motley Fool Australia.

More reading

• How to build a defensive ASX share portfolio in 2026
• 3 blue-chip ASX dividend shares to buy and hold
• How to become a millionaire with a $5,000 investment in ASX 200 shares each year
• Building an ASX share portfolio from scratch? Here’s my game plan
• ASX chaos? Here’s how to invest smart, stay calm and win

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

Dicker Data Ltd (ASX: DDR) is the kind of ASX dividend stock that can appeal to passive income investors, but putting 100% of your money into any single share would still be difficult to justify.

The technology distributor currently offers a dividend yield of about 5.2%, with payments made quarterly, which is relatively uncommon on the ASX.

At the time of writing, the stock is trading around $8.52, leaving it down roughly 15% over the past month despite a modest intraday recovery.

That weakness may make the yield look more attractive, but investors still need to consider whether the income is worth the risk of being too heavily exposed to one stock.

Why Dicker Data stands out for passive income

The biggest attraction here is the company’s long track record of regular, fully franked quarterly dividends.

Its most recent payment was 11.5 cents per share, paid on 19 March 2026. Across FY25, the business returned 44 cents per share.

The latest FY25 result also showed the core business remains in solid shape. Revenue increased 12.5%, gross profit rose 14.9%, and both EBITDA and NPAT moved higher. This gives the company a stronger base to keep paying reliable quarterly dividends.

That profit growth is important because dividends are only as reliable as the earnings behind them.

Dicker Data also recently updated its payout policy to distribute 80% to 100% of NPAT, down from the previous higher range, as management focuses on strengthening the balance sheet.

That is not necessarily a bad thing. A slightly lower payout ratio can make the dividend more sustainable during weaker periods and gives the company more flexibility if technology spending slows.

The risk of going all in

The problem with putting 100% into Dicker Data is not the quality of the business. It is the lack of diversification.

Even though the company has built a strong position in IT distribution across hardware, software, cloud, cybersecurity, and AI infrastructure, it still operates in the technology sector, where earnings can be influenced by business spending cycles.

That can make earnings less stable, which in turn can make future dividend growth less reliable.

There is also stock-specific risk to consider.

If one major vendor relationship changes, margins come under pressure, or enterprise spending softens during a weaker economic period, shareholders are fully exposed when their portfolio is concentrated in a single company.

This is why even high-quality dividend shares are usually better held as part of a broader income portfolio, alongside exposure to banks, infrastructure, healthcare, and other sectors.

Foolish takeaway

Dicker Data looks like a quality ASX tech share for passive income, especially for investors who value fully franked quarterly dividends and exposure to long-term IT spending growth.

But putting 100% into one stock still creates unnecessary risk, no matter how reliable the dividend history looks.

A more balanced approach would be to make Dicker Data one part of a diversified passive income strategy instead of the whole position.

The post Should I put 100% of my money into this ASX dividend stock for passive income? appeared first on The Motley Fool Australia.

More reading

• 1 super cheap ASX dividend stock down 16% to buy and hold for decades
• 3 of the best ASX income stocks to buy now
• 1 incredibly cheap ASX dividend growth stock to buy now and hold for decades
• 5 ASX dividend shares to buy for income in 2026
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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 no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Dicker Data. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Betashares Crude Oil Index Currency Hedged Complex ETF (ASX: OOO) is $9.44 per unit, up 48.9% in just one month.

This commodity-tracking ASX exchange-traded fund (ETF) is riding the wave of skyrocketing oil prices as the war in Iran drags on.

Over the past month, the Brent crude oil price has soared 38% to US$107.40 per barrel today.

The US West Texas Intermediate (WTI) crude oil price is up 44% over the month to US$102.95 per barrel at the time of writing.

What’s the latest in the Middle East?

Tensions in the Middle East escalated over the weekend after the Iran-backed Houthis of Yemen joined the war and attacked Israel.

Yemen’s involvement adds further upside risk to oil and gas prices, as it sits alongside the Red Sea and the Strait of Bab al-Mandeb.

Shipments of oil and gas flow through this strait, just as they do the Strait of Hormuz, which runs alongside Iran and is effectively closed.

US President Donald Trump says he’ll bomb Iran’s electricity plants, oil facilities, and desalination plants if the Strait of Hormuz is not reopened.

Meanwhile, Iran is reportedly urging militant groups to prepare to disrupt shipping through the Red Sea.

Trading Economics analysts said:

Such developments risk further tightening energy flows from the Middle East, as two of the main strategic waterways in the world for trade and energy supplies could potentially be cut off.

The inability of tankers to sail out of the Middle East has created a global oil shock.

Petrol and diesel prices in Australia have soared, with the Federal Government halving the fuel excise from tomorrow to provide relief.

While the US continues to claim that negotiations with Iran are going well, President Trump is still considering sending in ground troops.

Meanwhile, ASX 200 energy shares have soared since the conflict began, as has the price of the OOO ETF.

ASX ETF a popular trade as oil prices rocket

Data from online investment platform Stake shows OOO has been the fifth-most traded ASX ETF among Aussie investors this month.

Kylie Purcell, Senior Markets Analyst at Stake, said many new investors to the platform have been active this month, commenting:

In commodities, many are looking to capitalise on large price swings by trading oil ETFs and related stocks.

How does ASX OOO work?

This ASX ETF aims to track the S&P GSCI Crude Oil Index Excess Return, hedged against AUD/USD currency movements.

This allows ASX investors exposure to WTI crude oil futures, rather than the spot price.

Betashares explains:

The price of oil futures contracts is not the same as the “spot price” of oil. As such, OOO does not aim to, and should not be expected to, provide the same return as the performance of this spot price.

The performance of an ETF that is linked to oil futures may be materially different to the performance of the spot price of oil itself.

This is because the process of “rolling” from one futures contract to the next to maintain investment exposure can result in either a cost or benefit to the Fund, affecting returns.

OOO ETF is backed by cash, which is held in bank accounts with a third-party custodian on behalf of unitholders.

The post Why is this ASX ETF up nearly 50% in a month? appeared first on The Motley Fool Australia.

More reading

• Which ASX ETFs have Aussies traded most since the Iran war began?
• ASX ETFs holding up amidst global volatility 
• Will ASX oil stocks protect your portfolio from a market crash in 2026?
• 3 reasons this commodities ASX ETF could be an ideal buy in the current environment
• $10,000 invested in this ASX ETF a month ago is now worth $14,500

Motley Fool contributor Bronwyn Allen 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.