Term deposits look much more appealing these days following the RBA interest rate rises. Getting a return of more than 5% with no risk sounds pretty good! But, I’d still prefer to invest in S&P/ASX 300 Index (ASX: XKO) shares for passive income.

In fact, this looks like a fantastic time to invest in names that have been impacted by elevated interest rates, but could benefit when rates are reduced again. 

I’m particularly thinking about real estate investment trusts (REITs), because they offer exposure to fairly high-yielding commercial properties, but higher rates increase debt costs and are a headwind for property values.

There are two names I really want to highlight: Centuria Industrial REIT (ASX: CIP) and Dexus Industria REIT (ASX: DXI). Both of these businesses are focused on owning industrial properties. There are three compelling reasons to look at them today.

Good dividend yield

The yields on offer from these two businesses are more appealing to me than those from term deposits.

Centuria Industrial REIT’s FY26 payout is 16.8 cents per unit, which translates into a current distribution yield of 5.45%.

Dexus Industria REIT’s FY26 payout is 16.6 cents per unit, which equates to a distribution yield of 6.8%.

Perhaps even more importantly than those impressive yields, the payouts from these two businesses can grow in the long-term thanks to rental income growth.

Rental income tailwinds

There are many different property sectors we could invest in, such as shopping centres, office buildings, storage units, childcare centres, and so on.

I think it makes the most sense to invest in businesses with sustainable income growth because that’s a key driver of profit growth, which funds passive income and supports a higher share price.

Industrial properties have a number of tailwinds, including e-commerce growth, the onshoring of supply chains, data centre growth, refrigerated space growth (for food and medicine), and Australia’s growing population.

All of the above is leading to a very low vacancy rate and solid organic revenue growth for the two ASX 300 shares.

In the third quarter of FY26, Centuria Industrial REIT reported FY26 re-leasing spreads averaged 36%, reflecting the “significant under-renting” within the portfolio and the “ongoing comparatively strong market conditions that are prevalent across Australian industrial markets, particularly within infill locations.”

In other words, the new rental contracts generated 36% more rental income than the older rental contracts.

Dexus Industria REIT’s FY26 half-year result included like-for-like income growth of 7.4%, supported by rental escalations, strong re-leasing spreads and higher average occupancy throughout the period.

That strong level of rental growth can help offset the short-term headwind of higher interest rates.  

Appealing valuation

Both of these ASX 300 shares are trading at a large discount to their underlying value – the net tangible assets (NTA) per unit includes the loans, the property values, cash in the bank and so on.

At 31 December 2025, Dexus Industria REIT reported NTA per security of $3.39 – it’s trading at a 28% discount to this. The Centuria Industrial REIT is trading at a 22% discount to its December 2025 NTA of $3.95.

I don’t know when the next interest rate cut will be, but when we enter that period, it could be a strong tailwind for property valuations and the unit prices of the ASX 300 shares. Of course, there are more ASX shares that could also be compelling buys today for passive income.

The post Forget term deposits! I’d buy these two ASX 300 shares instead appeared first on The Motley Fool Australia.

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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 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.

S&P/ASX 200 Index (ASX: XJO) shares are up 0.3% to 8,786.6 points on Monday. 

The fastest rising ASX 200 shares today are Neuren Pharmaceuticals Ltd (ASX: NEU), up 31%, and Life360 Inc (ASX: 360), up 11%.

The biggest faller today is Navy shipbuilder Austal Ltd (ASX: ASB), down 8%.

Let’s check out three ASX shares with new ratings from the experts (courtesy The Bull) this week. 

Wildcat Resources Ltd (ASX: WC8)

The Wildcat Resources share price is steady at 51 cents, up about 215% over FY26.

Arthur Garipoli from Dolphin Partners Financial Services has a buy rating on this ASX lithium share. 

Garipoli said: 

Wildcat is a mineral exploration company. WC8 is advancing the Tabba Tabba Lithium-Tantalum project and the Bolt Cutter project in the Pilbara region of Western Australia.

The Tabba Tabba project is a large scale, hard rock development in an established mining jurisdiction with low sovereign risk and close to Port Hedland infrastructure. WC8 has completed a pre-feasibility study and is advancing towards a definitive feasibility study (DFS).

Catalysts for de-risking the company include a large resource base, a DFS, funding and resource growth.

The shares have performed strongly in the past 12 months and we like the company’s outlook.

WiseTech Global Ltd (ASX: WTC)

The Wisetech share price is $32.76, up 4% today and down 70% over FY26.

Stuart Bromley from Medallion Financial Group has a hold rating on this ASX 200 tech share. 

Bromley said: 

Despite ongoing management and governance scrutiny, WiseTech remains one of Australia’s highest quality technology businesses with a dominant position in global logistics software.

The company’s CargoWise platform continues to gain market share globally.

In our view, WTC offers a substantial long term growth opportunity.

While near term sentiment may remain volatile, we believe the quality of the underlying business warrants a hold rating amid management executing its long term strategy.

National Australia Bank Ltd (ASX: NAB)

The NAB share price is $37.71, up 0.5% today and down 4% over FY26.

Michael Gable from Fairmont Equities has a sell rating on this ASX 200 bank share.

Gable said: 

Trading conditions are getting tougher for retail banks as rising interest rates, sticky inflation and weakness in the property sector are likely to negatively impact lending activity and credit quality.

In a weaker economy, NAB is particularly vulnerable to softer earnings growth due to its higher focus on business banking.

Despite a significant share price fall, NAB valuations aren’t cheap, leaving the stock exposed to downside risk.

The post Buy, hold, sell: Wildcat Resources, NAB, Wisetech shares appeared first on The Motley Fool Australia.

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• WiseTech shares are all over the place. Here’s why
• 3 reasons to buy NAB shares now
• 4 ASX 200 shares I’d buy before the end of June
• Top brokers name 3 ASX shares to buy next week

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 positions in and has recommended Life360 and WiseTech Global. The Motley Fool Australia has positions in and has recommended Life360 and WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

It’s dividend season for ASX exchange-traded funds (ETFs), and several providers have announced their next payments.

Among them is VanEck, which has announced an estimated $17.99 per unit distribution for VanEck Gold Miners AUD ETF (ASX: GDX).

GDX ETF is trading at $114.80 per unit, up 2.3%, on Monday.

This means this next estimated distribution represents a whopping 15% dividend yield in a single payout.

VanEck will confirm the final amount tomorrow.

But whatever it is, it will be the biggest distribution this ASX ETF has ever paid since its inception in 2015.

For comparison, the FY25 distribution was 63 cents per unit.

Investors who own or buy GDX ETF before it goes ex-dividend on Wednesday will be entitled to the payment.

Why is this dividend so enormous?

ASX ETF providers call their payments ‘distributions’ rather than ‘dividends’ because they comprise several components.

The components include dividend income from the companies the ETF is invested in, and capital gains from the sale of stocks.

So why is this next one from GDX ETF so big?

For starters, ASX GDX pays distributions once per year, so this next payment represents earnings over a 12-month period.

But that’s only a minor reason. The primary driver is the runaway gold price, which has enabled miners to earn a motza.

Gold price bull run

The gold price has soared over several years now. In CY25, the gold price leapt a staggering 65% — its best year since 1979.

Even more amazing is that it followed an already impressive growth rate of 27% in CY24.

The bulk of this growth is down to central banks around the world buying gold to diversify their reserves away from the US dollar.

The catalyst was the freezing of Russia’s foreign-currency reserves after the Ukraine invasion in 2022.

On top of that was concern over new US policies under President Donald Trump since his inauguration in early 2025.

New tariffs and geopolitical uncertainty weighed on the US currency, and nations increasingly perceived the US as a less reliable defence partner.

All of this drove central banks to move increasingly away from US bonds. Gold — long considered a safe haven — was the best alternative.

Additionally, post-COVID inflation began to settle, interest rates fell globally, and the appeal of risk-free investments like cash fell.

Institutional investors and professional traders caught on over time, then we retail investors followed.

Large inflows into gold ETFs, especially in 1H FY26, sent the gold price to a record US$5,608 per ounce before a 21% crash in January.

Despite the correction in price to about US$4,405 per tonne, experts said gold miners were still going to make a tonne of money.

Warwick Grigor, an analyst at mining investment specialists Far East Capital, said implied profitability for gold producers was between US$3,000 and US$4,000 per ounce with the gold price at that level.

The gold price weakened further over 2H FY26 to trade at US$4,059.69 per tonne today.

On Grigor’s calculations, that still meant plenty of margin for miners, and it’s likely a big reason for GDX ETF’s mega distribution.

Mega capital gains as ASX ETFs and gold mining shares soar

While the gold price was ascending rapidly in CY24 and CY25, international and ASX 200 gold mining shares skyrocketed.

In Australia, the ASX 200’s largest gold mining share, Northern Star Resources Ltd (ASX: NST), ripped 73% higher in CY25 alone.

Evolution Mining Ltd (ASX: EVN) shares soared 164% while Newmont Corporation CDI (ASX: NEM) shares rocketed 152%.

The Regis Resources Ltd (ASX: RRL) share price ascended 196% and Genesis Minerals Ltd (ASX: GMD) shares ripped 194%.

Resolute Mining Ltd (ASX: RSG) shares tripled in value, while Perseus Mining Ltd (ASX: PRU) more than doubled.

International gold shares may have done even better, and GDX ETF holds mining shares from all over the world.

This is likely another reason why GDX is paying out big-time this season: realised capital gains accumulated over several years.

More about GDX ETF

The GDX ETF seeks to track the performance of the NYSE Arca Gold Miners Index (AUD) Index.

ASX GDX invests in 105 gold mining shares, with 44% in Canada, 24% in the US, 9% in Australia, and 6% in Brazil.

The index only invests in miners with a market cap above US$750 million and an average daily traded value of at least US$1 million.

The free float market cap-weighted index applies a capping scheme to individual shares to ensure diversification.

GDX’s ETF has total net assets of $1.3 billion.

VanEck charges investors a 0.53% management fee.

View a list of other VanEck ETF distributions this season, as well as a list of Vanguard ETF dividends here.

The post Which ASX ETF will pay an eye-popping $18 per share dividend this season? appeared first on The Motley Fool Australia.

More reading

• Own GDX, MOAT, or ESPO? VanEck just announced ASX ETF dividends
• 4 ASX ETFs to buy for the mining supercycle

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.