Author: openjargon

High dividend yields are easier to find after interest rates rise and income shares fall out of favour.

But I think some of those yields are more interesting than others.

For me, the best opportunities are ASX dividend shares with income supported by real assets, long-term contracts, or rental streams with reasonable visibility.

That is why the two shares in this article stand out to me.

Both offer trailing yields above 5%, which is attractive in its own right. But I also like the assets sitting behind those distributions.

APA Group (ASX: APA)

APA is one of the first income shares I would consider buying.

The company owns and operates a large portfolio of energy infrastructure assets, including gas pipelines, electricity transmission, power generation, and energy storage assets.

What appeals to me is the role these assets play in the economy.

Energy infrastructure is not a short-term trend. Businesses, households, and industries need a reliable energy supply, and large-scale infrastructure is difficult to replicate quickly.

APA’s earnings are supported by contracted revenue, regulated assets, and long-term customer relationships. That can give investors a more defensive income stream than many cyclical dividend shares.

The trailing dividend yield is currently around 5.5%, which I think looks appealing for a business with this type of infrastructure backing.

There are risks to consider. APA is exposed to interest rates, debt costs, regulation, and long-term changes in Australia’s energy system. Investors should also remember that infrastructure shares can still fall when bond yields rise or when the market becomes more cautious toward income assets.

But for investors seeking a combination of income and exposure to essential infrastructure, I think APA is a solid option.

Charter Hall Long WALE REIT (ASX: CLW)

The second ASX dividend share I would consider is Charter Hall Long WALE REIT.

This real estate investment trust (REIT) focuses on properties with long leases and tenants with strong covenants. The idea is simple: own a diversified portfolio of assets that can provide stable rental income over time. That makes it very relevant for income investors.

The portfolio is currently valued at around $6 billion, comprising 515 properties, with 99.9% occupancy and a weighted average lease expiry (WALE) of 9.2 years.

I think those numbers are important because they point to income visibility. A long WALE portfolio can reduce some of the uncertainty that comes with shorter leases, vacancy risk, and constant tenant turnover.

Another positive is that the Charter Hall Long WALE REIT currently has a trailing distribution yield of around 7%.

That is a strong yield, but investors should still be realistic. REITs can be sensitive to interest rates, property valuations, and refinancing costs. If rates remain higher for longer, the sector may continue to face pressure.

Even so, I think its long leases, high occupancy, and diversified property base make it a compelling income option for investors comfortable with property market risk.

Foolish Takeaway

For income investors, APA and the Charter Hall Long WALE REIT offer two different ways to collect regular cash flow from real assets.

APA is linked to energy infrastructure. Charter Hall Long WALE REIT is linked to long-leased property.

Both come with risks, especially while interest rates remain a major focus for markets. But I think their yields are supported by assets that play a clear role in the economy.

The post 2 rock-solid ASX dividend shares to buy this May appeared first on The Motley Fool Australia.

More reading

• How to build a $52,000 annual passive income
• How to invest $20,000 for passive income in superannuation
• Passive income investors: These 3 ASX dividend shares yield 5% (or more)
• These ASX dividend shares could power your retirement income
• CGT tax changes may encourage investors into ASX dividend shares: Expert

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 Apa Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

When it comes to investing in ASX exchange-traded funds (ETFs), one of the most important factors in investors’ overall returns is the fees that they pay.

All ASX ETFs charge an annual management fee. This goes towards the costs of providing and running the fund, which is a managed investment at the end of the day. Saying that, fees on ASX ETFs vary wildly. Some charge minuscule fees, whilst others can ask more than ten times what the cheapest ASX ETFs do.

It’s my firm belief that most ASX ETF investors should prioritise a low fee above all else. Fortunately, the lowest fees on the ASX tend to be attached to high-quality index funds that are diversified, cover entire markets, and are, at least in my opinion, suitable for almost every ASX investor.

Let’s talk about some of the ASX’s cheapest ETFs.

What are the ASX’s cheapest ETFs?

First up, we have the iShares S&P 500 ETF (ASX: IVV). This popular fund tracks the most famous index in the world, the S&P 500. This represents the largest 500 stocks listed in the United States, and includes everything from NVIDIA, Amazon, and Apple to Exxon Mobil, Coca-Cola Co, and General Motors.

IVV is a very competitive ETF cost-wise, charging a management fee of 0.04% per annum. That’s $4 per year for every $10,000 invested.

Luckily, there’s another ASX ETF closer to home, that is just as cheap. For investors looking to invest in a simple ASX index fund, the Global X Australia 300 ETF (ASX: A300) is your cheapest option. A300 works in a similar manner to IVV. However, instead of the 500 largest US stocks, this fund tracks the largest 300 Australian stocks listed on our local market. That’s everything from Commonwealth Bank of Australia (ASX: CBA) and Telstra Group Ltd (ASX: TLS) to JB Hi-Fi Ltd (ASX: JBH) and Ampol Ltd (ASX: ALD).

Like IVV, A300 also charges a management fee of 0.04%.

But wait, it gets cheaper

You may think that $4 a year for every $10,000 invested is as good as it gets for passive investors. But no, there is an even cheaper ETF still.

It is none other than the Vanguard U.S. Total Market Shares Index ETF (ASX: VTS). This fund works in a similar manner to IVV. However, instead of just the largest 500 US stocks, VTS covers a far larger swath of the American market. It currently has close to 3,500 individual holdings.

Of course, it is still quite top-heavy, with stocks like NVIDIA, Amazon, and Apple taking up a big chunk of room. But if you’re ok with the larger portfolio of US stocks, this ASX ETF is the cheapest you can find right now. It asks a management fee of just 0.03%, or $3 per year for every $10,000 invested.

The post These are the cheapest ASX ETFs on the Australian market appeared first on The Motley Fool Australia.

More reading

• VGS vs IVV: Which ASX ETF is better?
• Why I’d buy these ASX ETFs if I were a beginner
• 5 excellent ASX ETFs to buy and hold for 25 years
• How to build a $150,000 ASX share portfolio from scratch
• How to generate $20,000 a year in passive income on the ASX

Motley Fool contributor Sebastian Bowen has positions in Amazon, Apple, and Coca-Cola. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Amazon, Apple, Nvidia, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended General Motors. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Amazon, Apple, Nvidia, 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.

Generating $52,000 a year in passive income from ASX shares is a big target.

It is the equivalent of $1,000 a week, which is enough to make a meaningful difference to an investor’s lifestyle, retirement plans, or financial flexibility.

But the important point is that this sort of income stream is unlikely to come from chasing the highest yields on the market. A more realistic approach is to build patiently, focus on quality, reinvest where possible, and let compounding do its work over many years.

The number investors need

Let’s start with the income target.

If an investor wants $52,000 a year from ASX dividend shares and assumes an average dividend yield of 5%, they would need a portfolio worth approximately $1.04 million.

That is a large number, but it gives investors something concrete to work towards.

How compounding can help

The journey to a seven-figure portfolio becomes more achievable when investors use time and compounding to their advantage.

If an investor can achieve an average annual total return of 10%, including capital growth and dividends, their money could grow significantly over long periods. This return is broadly in line with long-term share market averages, but it is not guaranteed.

Based on a 10% annual return, an investment of $1,000 per month into ASX shares would turn into over $1 million in around 23 years.

But it is worth remembering that some years will be strong, while others will be painful. That is why discipline matters.

What could go into the portfolio?

A passive income portfolio should not rely on one sector doing all the work.

Telstra Group Ltd (ASX: TLS), for example, is often viewed as a defensive dividend option because of its essential telecommunications infrastructure, large customer base, and recurring earnings profile.

Infrastructure names can also have a role to play. APA Group (ASX: APA) owns energy infrastructure assets, while Transurban Group (ASX: TCL) provides exposure to toll roads. Both operate in areas where long-term demand and contracted or regulated revenue streams can support income.

Investors may also look at real asset exposure through Rural Funds Group (ASX: RFF), which owns agricultural properties leased to operators. This gives the portfolio a different source of income from banks, retailers, or infrastructure shares.

Consumer-facing names can add another layer. Woolworths Group Ltd (ASX: WOW) has defensive qualities through grocery retailing, while Harvey Norman Holdings Ltd (ASX: HVN) offers exposure to retail, property, and dividends, though its earnings can be more cyclical.

The goal is not to own every income share available. It is to build a diversified group of reliable dividend payers that can support both income and long-term capital growth.

Foolish takeaway

A $52,000 annual passive income will not happen quickly for most investors.

But the formula is not complicated. Keep adding capital, reinvest dividends, diversify across quality ASX income shares, and then let time and compounding do the hard work.

The post How to build a $52,000 annual passive income appeared first on The Motley Fool Australia.

More reading

• This ASX 200 dividend share could be a quiet winner for the next decade
• 5 ASX retail shares whose 12-month price targets just got slashed
• Why Catapult Sports, IAG, Telstra, and Tuas shares are falling today
• 5 ASX 200 shares downgraded by the experts this week
• Here’s a 9% ASX dividend stock to consider for a monthly passive income

Motley Fool contributor James Mickleboro has positions in Woolworths Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Transurban Group. The Motley Fool Australia has positions in and has recommended Apa Group, Harvey Norman, Rural Funds Group, Telstra Group, Transurban Group, and Woolworths Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Some ASX shares make a lot of noise.

They have exciting growth stories, sharp share price moves, and plenty of attention from investors looking for the next big thing.

But I think quieter businesses can be just as useful in a long-term portfolio, especially when they provide income and exposure to essential assets.

One ASX 200 dividend share I would be happy to buy for the next decade is Transurban Group (ASX: TCL).

A business built around essential roads

Transurban owns and operates toll roads across major cities, including key assets in Sydney, Melbourne, Brisbane, and North America.

That gives the company exposure to a simple but powerful idea: people and goods still need to move around large cities.

Traffic volumes can shift from year to year. Fuel prices, working-from-home trends, economic conditions, and interest rates can all affect sentiment toward the stock.

But over the long term, major urban road networks remain important pieces of infrastructure.

I like businesses that own assets that are difficult to replicate. Building a new major toll road in a developed city is not easy. It requires planning approvals, large amounts of capital, long construction periods, and community support.

That gives existing road assets a valuable position.

Income with growth potential

The main reason many investors look at Transurban is income.

As an infrastructure business, Transurban can generate large amounts of cash flow from its toll road assets and pay distributions to investors.

For retirees or income-focused investors, that can be attractive.

But I also think Transurban offers more than just income today.

Many of its toll roads have long concession lives, and toll increases are often linked to inflation or contractual arrangements. That can help revenue grow over time, especially if traffic volumes also increase.

This is why I think the stock can be useful in a long-term portfolio. Investors may receive regular distributions, while the value of the underlying asset base can also grow if the business keeps executing.

Why it could be interesting now

Transurban has not been the easiest ASX 200 dividend share to own in recent years.

Higher interest rates have weighed on infrastructure and property-style investments. Debt costs are an important factor for a business like this, so the market can become more cautious when rates rise.

But that is also what makes the opportunity interesting.

If investors are too focused on near-term interest rate pressure, they may miss the long-term appeal of owning high-quality infrastructure assets.

Transurban is not going to grow like a small-cap technology company. That is not the role I would expect it to play.

Instead, I would view it as a dependable income and infrastructure holding that can sit in a portfolio for years.

Foolish takeaway

In my opinion, the appeal of Transurban is the boring strength of owning assets that millions of people use, often because they need to rather than because they want to.

That kind of ASX 200 dividend share can be easy to overlook when the market is chasing faster-moving opportunities. But for investors who want income, inflation-linked qualities, and exposure to long-life infrastructure, I think Transurban is worth a close look.

A decade from now, I suspect investors may be glad they owned a share like this while it quietly kept collecting tolls and paying distributions.

The post This ASX 200 dividend share could be a quiet winner for the next decade appeared first on The Motley Fool Australia.

More reading

• How to build a $52,000 annual passive income
• 3 strong ASX 200 shares for retirees to buy and hold
• Here is what Transurban shares are paying income investors in 2026
• The ASX dividend share built for long-term wealth
• How to invest during market chaos and volatility

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

The Vanguard MSCI Index International Shares ETF (ASX: VGS) and the iShares S&P 500 AUD ETF (ASX: IVV) are two of the most popular ASX exchange-traded funds (ETFs) for investors wanting international exposure.

I think both could be excellent long-term holdings.

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

Even so, there are some important differences.

The case for the IVV ETF

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

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

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

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

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

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

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

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

The case for the VGS ETF

The VGS ETF takes a broader approach.

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

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

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

I can see the appeal of that.

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

Which one would I choose?

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

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

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

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

Foolish takeaway

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

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

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

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

More reading

• These are the cheapest ASX ETFs on the Australian market
• Why I’d buy these ASX ETFs if I were a beginner
• 5 excellent ASX ETFs to buy and hold for 25 years
• How to build a $150,000 ASX share portfolio from scratch
• 2 of the best ASX ETFs to buy and hold

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 ASML and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Lvmh Moët Hennessy – Louis Vuitton, Société Européenne and Nestlé. The Motley Fool Australia has recommended ASML, Vanguard Msci Index International Shares ETF, 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.

Shares in Gold Hydrogen Ltd (ASX: GHY) jumped during the week after the company said it believed it had a “world-leading” hydrogen and helium project in South Australia.

Encouraging results

The company said in a statement to the ASX that drilling and well testing to date had confirmed “exceptional” gas purities at the Ramsay project, with natural hydrogen at up to 97% and helium at up to 36.9%.

The company also said Worley Consulting had completed a high-level commercial assessment of three helium production scenarios.

The company said:

Modelling undertaken by Worley indicates that, based on the inputs provided by the Company, Ramsay may have the potential to be commercially viable with as few as two wells, assuming sustained helium flow rates of ~29 thousand standard cubic feet (Mscf) per day per well. Scaling to ten wells is indicated by Worley to improve the net present value, internal rate of return and payback for a gaseous product.

The company said that while it was still looking to advance its medium to long-term hydrogen opportunities, it had identified the potential for accelerated helium development at Ramsay.

Gold Hydrogen said it would continue working with Worley Ltd (ASX: WOR) to refine the models in parallel with the next flow-testing campaign at Ramsay, which is scheduled for June.

The company said Australia currently imports all of its helium following the closure of the Darwin LNG Helium plant in late 2023.

The company added:

Helium is a high-value, non-manufacturable commodity, with structurally rising demand driven by advanced industrial and technological applications.

Helium in demand

Gold Hydrogen Chair Alexander Downer said:

Helium currently sits on Australia’s Strategic Materials List, but that is a holding pattern, and the events of recent weeks have laid bare just how exposed Australia is. We import 100% of a gas that is essential to chips, MRI, defence and AI infrastructure, and the global supply chain recently lost roughly a third of its production overnight. It is time to move helium from the Strategic Materials List back onto Australia’s Critical Minerals List, where it belongs. Independent commentary, including a recent piece by the Australian Strategic Policy Institute, has put the issue plainly: no Helium, no chips. Gold Hydrogen has a unique opportunity, and a responsibility, to help Australia rebuild a sovereign helium capability and to be part of the solution for our allies and trading partners.

Gold Hydrogen is valued at $72.2 million. The company’s shares are changing hands at 37.5 cents at the time of writing, up 15.4% from a week earlier, after trading as high as 43 cents the week after the announcement.

The post This natural hydrogen company says it has a world-leading project appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: Catapult Sports, Worley, CBA shares
• Worley shares jump as another $300 million buyback lands
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Motley Fool contributor Cameron England 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.

Starting out with investing can feel harder than it needs to be.

There are thousands of shares, endless opinions, and plenty of noise about what the market might do next.

That is why I think exchange-traded funds (ETFs) can be so useful for beginners. They allow investors to buy a basket of shares in one trade, spread risk across many companies, and build a portfolio without needing to pick every winner.

If I were beginning today, three ASX ETFs I would consider are named in this article.

iShares S&P 500 AUD ETF (ASX: IVV)

The iShares S&P 500 AUD ETF gives investors exposure to 500 of the largest listed companies in the United States.

I think the IVV ETF is a strong starting point because it gives Australian investors access to parts of the market that are not well represented on the ASX.

The Australian market has plenty of financials, miners, supermarkets, and infrastructure shares. The US market adds exposure to global leaders in technology, healthcare, consumer brands, payments, software, industrials, and communications.

This ETF owns companies such as Microsoft, NVIDIA, Apple, Amazon, and Meta Platforms.

For beginners, I think that is powerful. Instead of trying to decide which global giant will perform best, the iShares S&P 500 AUD ETF lets investors own a broad slice of corporate America.

It will still fall when US shares sell off. But over long periods, the S&P 500 has been one of the world’s great wealth-building markets.

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

The Vanguard FTSE Asia Ex-Japan Shares Index ETF gives investors exposure to Asian markets outside Japan.

I think this is an interesting ETF for beginners because it adds a different kind of growth exposure.

Many Australian portfolios end up heavily focused on Australia and the United States. That can work well, but Asia is home to some of the world’s largest populations, fastest-growing consumer markets, and most important technology supply chains.

The VAE ETF gives investors access to companies across markets such as China, Taiwan, India, South Korea, Hong Kong, Singapore, and others.

Its holdings can include major businesses such as Taiwan Semiconductor Manufacturing, Tencent, Samsung Electronics, and Alibaba Group.

This ASX ETF can be more volatile than a broad US or Australian index fund. Currency movements, politics, regulation, and emerging market risks can all affect returns.

But for a beginner investing for decades, I think having some exposure to Asia’s long-term growth could make sense.

VanEck Morningstar Wide Moat AUD ETF (ASX: MOAT)

Lastly, the VanEck Morningstar Wide Moat AUD ETF takes a more selective approach. It focuses on US companies that have durable competitive advantages, or wide moats.

That could mean strong brands, cost advantages, network effects, switching costs, or valuable intangible assets.

I like this idea for beginners because it encourages investors to think about business quality rather than just share price movements.

The MOAT ETF is not trying to own every company. It is trying to own companies that may be better placed to defend profits over time.

That does not guarantee outperformance. No ETF can do that. But I think quality is a sensible principle to build around, especially for investors who want to hold through market cycles.

Foolish takeaway

For beginners, I think the biggest advantage of ETFs is that they remove some of the pressure from investing.

There is no need to find the next superstar stock on day one. A beginner can start with broad, sensible exposure and let time do a lot of the work.

That is why I like this mix. It gives an investor exposure beyond Australia, across different regions, sectors, and investment styles.

From there, the most important step is simple: keep going.

The post Why I’d buy these ASX ETFs if I were a beginner appeared first on The Motley Fool Australia.

More reading

• How to build a $20,000 ASX share portfolio with $100 a month
• 5 excellent ASX ETFs to buy and hold for 25 years
• 3 of the best performing Vanguard ASX ETFs over the last year
• How to build a $150,000 ASX share portfolio from scratch
• How to generate $20,000 a year in passive income on the ASX

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 Amazon, Apple, Meta Platforms, Microsoft, Nvidia, Taiwan Semiconductor Manufacturing, Tencent, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Alibaba Group. The Motley Fool Australia has recommended Amazon, Apple, Meta Platforms, Microsoft, Nvidia, VanEck Morningstar Wide Moat ETF, 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.

Hitting 65 is a major turning point for many Australians.

While the age pension currently starts at 67, plenty of people begin thinking seriously about retirement around 65.

Some are already winding back work, others are planning their final few years in the workforce, and many are asking the same question: is my superannuation balance enough?

Before looking at the average, it helps to understand what super is actually trying to fund.

What does retirement cost?

According to the Association of Superannuation Funds of Australia (ASFA), there are two main retirement lifestyles to consider: modest and comfortable.

A modest retirement is designed to sit slightly above the age pension. It covers the basics, but leaves limited room for discretionary spending, travel, major home repairs, or unexpected costs.

A comfortable retirement is very different. It allows retirees to enjoy a broader lifestyle, including private health insurance, regular leisure activities, a reasonable car, household goods, domestic holidays, and occasional international travel.

ASFA estimates that a comfortable retirement requires around $630,000 in super for a single person and $730,000 for a couple. A modest retirement requires far less, at around $110,000 for singles and $120,000 for couples.

So, what is the average superannuation balance at 65?

There isn’t a precise official figure for exactly age 65, but we can make a reasonable estimate using the surrounding age brackets.

Based on recent data, the likely average balance is approximately $353,000 for women and $422,000 for men.

That means a couple where both partners are around the average could have a combined super balance of roughly $775,000.

How does that compare?

For couples, the average balance at 65 is above ASFA’s comfortable retirement benchmark. That is an encouraging sign, particularly when the age pension becomes available from 67 and may provide additional support.

For singles, the picture is more mixed. The estimated average balance for both women and men is well above the modest retirement benchmark, but below the amount ASFA suggests is needed for a comfortable retirement.

This means many single retirees may need to rely partly on the Age Pension, adjust their spending expectations, or continue working for longer if they want more flexibility in retirement.

The important caveat

Averages only tell part of the story. Some Australians reach 65 with very high super balances, while others have far less because of career breaks, part-time work, lower wages, divorce, health issues, or time spent outside the workforce.

Housing also matters enormously. ASFA’s figures assume home ownership. A retiree who owns their home outright is in a very different position from someone still paying rent or carrying a mortgage.

Foolish takeaway

The average Australian superannuation balance at age 65 is likely to be around $353,000 for women and $423,000 for men.

For couples, that may be enough to support a comfortable retirement, especially with the age pension later playing a role. For singles, the average balance is more likely to sit somewhere between modest and comfortable.

Ultimately, age 65 is not just about comparing your balance to the average. It is about understanding what kind of retirement you want, how much it may cost, and whether your super is ready to support it.

The post Here’s the average superannuation balance at age 65 appeared first on The Motley Fool Australia.

More reading

• 3 reasons to buy this battery, tech and lithium ASX ETF
• Where I’d invest $5,000 in ASX shares this week
• How many CBA shares do I need to buy for $10,000 of passive income?
• Thinking about dividend yields? Here’s how much the top 10 ASX 200 shares pay
• How big will the BHP dividend be in 2027?

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.

There has been plenty of coverage on the global AI boom. 

Artificial intelligence has moved from a niche technology theme into a foundational force reshaping industries, infrastructure, and global investment markets.

For investors, there are many ways to target this emerging market. 

A new report from Global X highlights the opportunity that may lie outside of AI companies, and in the backbone of energy storage. 

For investors, this growing demand could create a significant long-term opportunity for companies involved in lithium, battery production and energy storage technology.

These areas are all targeted by the Global X Battery Tech & Lithium ETF (ASX: ACDC). 

Here are three reasons why investors should be considering this ASX ETF. 

AI data centres need batteries

Artificial intelligence is driving a massive global buildout of data centres. Every time an AI model answers a question, generates an image or processes information, it relies on powerful servers housed inside these facilities.

However, AI data centres consume huge amounts of electricity, and in many cases, the power grid isn’t keeping up. That’s where batteries are becoming increasingly important.

Battery technology is no longer just a backup system sitting quietly in the background. It is rapidly becoming a core piece of AI infrastructure, helping data centres manage surging energy demand, avoid grid bottlenecks and keep operations running around the clock.

Energy storage is becoming a major growth industry

Research from BloombergNEF suggests data centre operators could add between 2 and 3 gigawatt-hours (GWh) of battery storage capacity each year through to 2028. 

More significantly, there are already more than 40GWh of additional projects that have been confirmed but are yet to be installed.

Together, these figures underline the pace at which demand for battery technology could grow as AI adoption accelerates.

The opportunity also extends far beyond data centres themselves. Large-scale battery deployments require lithium, battery cells, raw materials and specialised energy storage systems, creating potential tailwinds across the broader battery and lithium supply chain.

Government investment growing

Additionally, governments are increasingly focused on energy security and reducing dependence on imported energy.

Geopolitical tensions and global conflicts have highlighted the risks of relying too heavily on overseas energy supplies.

As a result, many countries are investing heavily in renewable energy and battery storage systems to strengthen domestic energy infrastructure.

Renewable energy sources like solar and wind are intermittent, meaning they don’t produce electricity constantly. Batteries help solve this problem by storing excess energy and releasing it when needed.

This creates another powerful demand driver for battery technology alongside the rapid growth of AI infrastructure.

Gaining exposure with a single ASX ETF

For investors looking to gain exposure to this theme, the Global X Battery Tech & Lithium ETF invests across areas such as:

• Lithium mining and refining
• Battery manufacturing
• Energy storage technology
• Electric vehicle battery production. 

The fund focuses on a trend sitting at the intersection of two major long-term trends: the rise of AI and the global transition toward cleaner, more resilient energy systems.

The post 3 reasons to buy this battery, tech and lithium ASX ETF appeared first on The Motley Fool Australia.

More reading

• Here’s the average superannuation balance at age 65
• Where I’d invest $5,000 in ASX shares this week
• How many CBA shares do I need to buy for $10,000 of passive income?
• Thinking about dividend yields? Here’s how much the top 10 ASX 200 shares pay
• How big will the BHP dividend be in 2027?

Motley Fool contributor Aaron Bell 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.

There are still plenty of ASX shares I would be happy to buy despite the recent market volatility.

Some are trading at more attractive prices after pullbacks. Others continue to look like high-quality long-term options, even if they are not obvious bargains.

If I had $5,000 to put to work this week, three ASX shares I would be looking at closely are named in this article.

Hub24 Ltd (ASX: HUB)

The first ASX share I would buy is Hub24.

Hub24 is one of the standout platform businesses on the ASX. It provides technology that helps financial advisers manage client portfolios, administration, reporting, and investment access.

What I like about Hub24 is that it sits behind the scenes in a large and growing wealth industry.

Australians are building wealth through superannuation, property, shares, inheritance, and retirement savings. Many people need advice as their financial lives become more complicated. Advisers, in turn, need better systems to serve clients efficiently.

That is where Hub24 has been winning.

The company has built a strong reputation for service, functionality, and innovation. Once advisers use a platform and build client processes around it, those relationships can become hard to shift.

Hub24 will still be affected by market movements, as weaker share markets can reduce funds under administration. But over the long term, I think the shift toward modern investment platforms remains very attractive.

Codan Ltd (ASX: CDA)

The second ASX share I would consider is Codan.

Codan is an interesting mix of businesses. It is known for metal detection through Minelab, but it also has a growing communications and technology side through Zetron and Domo Tactical Communications.

That combination gives investors exposure to more than one theme.

Minelab can benefit when gold prices are strong and demand for gold detectors improves. But the communications side is increasingly important, particularly in areas such as public safety, defence, security, and mission-critical communications.

I like Codan because it has a history of finding specialist markets and building strong positions inside them.

It is not trying to be everything to everyone. It makes products for customers that need reliability in difficult environments. That can create pricing power and brand strength if the technology performs well.

The share price can be cyclical, especially because gold detector demand can move around. But I think Codan’s broader technology base gives it a stronger long-term story than the market sometimes appreciates.

Commonwealth Bank of Australia (ASX: CBA)

The third ASX share I would buy is Commonwealth Bank of Australia.

CBA remains the highest-quality major bank in Australia in my view. It has enormous scale, a powerful deposit base, strong digital capability, and deep customer relationships.

The recent share price weakness has made the buying case more appealing.

CBA is still not a bargain-basement stock, and investors are usually asked to pay a premium for its quality. But I think that premium is understandable.

The bank has a long record of generating strong profits, paying large fully franked dividends, and maintaining a strong position in home lending, deposits, and business banking.

The economic backdrop is more challenging now, with households dealing with cost-of-living pressure and interest rates. That could keep bank shares volatile.

But if I were investing for the next five to 10 years, CBA is the kind of blue-chip share I would be comfortable holding through the cycle.

Foolish takeaway

For me, the appeal of these three ASX shares is that each has a clear reason to exist in a long-term portfolio. They are not chasing the same opportunity, and they are not all exposed to the same risks.

In a market that can swing quickly from optimism to caution, I think shares like these are worth considering.

The post Where I’d invest $5,000 in ASX shares this week appeared first on The Motley Fool Australia.

More reading

• How many CBA shares do I need to buy for $10,000 of passive income?
• Thinking about dividend yields? Here’s how much the top 10 ASX 200 shares pay
• This red-hot ASX 200 defence stock is rising again. Here’s why
• How to build a $20,000 ASX share portfolio with $100 a month
•  3 ASX shares that could be future blue chips

Motley Fool contributor Grace Alvino has positions in Codan, Commonwealth Bank Of Australia, and Hub24. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24. The Motley Fool Australia has recommended Hub24. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.