Tag: Stock pick

When investors think of ASX consumer staples shares, two names dominate.

Coles Group Ltd (ASX: COL) and Woolworths Group Ltd (ASX: WOW).

Both sell products households need in every economic climate, and both generate mountains of cash. But they are not identical investments.

So which one looks the better buy today? Let’s compare them.

The share price story

The two giants have travelled very different paths in 2026.

Woolworths shares have staged a strong recovery this year.

They are up around 32% year to date. By contrast, Coles has been steadier, rising roughly 6% over the same period.

That rally has left Woolworths looking pricier.

As a result, the broker Bell Potter recently held a cautious view on the stock, setting a price target of $35.50, slightly below the share price at the time of writing.

Comparing these ASX consumer staples on dividends

Income investors often buy supermarkets for their reliable dividends. Here, the picture is interesting.

Analysts expect Coles to issue fully-franked dividends of 75.5 cents in FY26 and 82 cents in FY27. At the time of writing, that FY27 forecast implies a yield of about 3.6%.

Woolworths is tipped to pay 99.5 cents in FY26 and $1.13 in FY27. That works out to a forward yield closer to 2.9% at the time of writing.

On the headline numbers, Coles offers the more attractive yield. But income is only part of the story.

Growth and quality

Coles has been executing well.

The company has grown its earnings steadily and kept a tight grip on costs. Investors have long valued its consistency and defensive earnings base.

Woolworths remains the larger business. Its scale gives it advantages in buying and distribution, and recent results suggest margins are stabilising after a tough patch.

So the choice is really about style.

Woolworths is priced for a recovery and scale. Coles is priced for steady income and discipline.

Foolish Takeaway

Both Coles and Woolworths are high-quality ASX consumer staples shares. Both hold dominant positions in a defensive industry.

Right now, Coles arguably looks the better value on dividends and steadiness. Woolworths offers more upside if its turnaround keeps building.

Neither is a bad long-term option for a defensive portfolio.

For income-focused investors, these ASX consumer staples remain two of the most watchable names on the market.

The post Coles vs. Woolworths. Which ASX consumer staples stock is the best buy? appeared first on The Motley Fool Australia.

More reading

• How to make $50,000 of passive income from ASX shares like CBA
• Here are the top 10 ASX 200 shares today
• Coles ends talks for Greencross acquisition
• 3 top ASX 200 shares I’d buy for a self-managed superannuation fund
• How much do I need in my superannuation to earn an annual $60,000 passive income?

Motley Fool contributor Mark Verhoeven 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.

If you are 55 and wondering whether your superannuation is on track, you are not alone.

It is one of the most common questions Australians ask.

The good news is that there are clear benchmarks to aim for. The less good news is that many people fall short.

Let’s break it down.

What a comfortable retirement actually costs

The most widely used benchmark comes from the ASFA Retirement Standard.

This tool estimates what retirees actually spend.

According to this standard, a single homeowner needs about $54,240 a year for a comfortable lifestyle. A couple needs roughly $77,375 a year.

To fund that, ASFA suggests a lump sum of around $630,000 for a single person.

Couples need about $730,000 between them.

Both figures assume you own your home and draw a part Age Pension.

How much superannuation you need at 55

Here is the important part.

Those targets apply at retirement age, which is typically 67. At 55, you still have time on your side.

You generally cannot access your superannuation until age 60, and the Age Pension does not kick in until age 67.

So a 55-year-old has roughly a decade of compounding still to come.

That is quite important. Money invested today has years left to grow. A balance that looks light at 55 can still reach the target by 67.

The catch is that many Australians are behind.

Typical balances in the 55 to 64 age bracket sit well below the ASFA figure.

Building your superannuation from here

If you are behind, you have several levers to pull.

Salary sacrificing extra into superannuation is one of the most powerful. Concessional contributions are taxed at just 15% for most people, which is well below most marginal tax rates.

Making sure your money is invested sensibly is just as important. Many funds let you choose your investment mix.

Some investors also hold ASX shares and funds directly.

One popular option is the Vanguard Australian Shares Index ETF (ASX: VAS). This ETF tracks the 300 largest companies on the ASX, giving you instant diversification in a single trade.

VAS also pays regular dividends, which can be reinvested to compound over time.

Low-cost index funds like VAS are a common building block for growth-focused portfolios.

They are simple, cheap, and broadly diversified.

Foolish Takeaway

So how much superannuation does a 55-year-old need?

Aim for the path to roughly $630,000 as a single, or $730,000 as a couple, by age 67.

The exact number depends on your lifestyle, health, and whether you own your home.

At 55, the decisions you make now still count for a lot.

Contribute more where you can. Invest for growth while you still have time. And check in on your superannuation regularly.

The post How much super does a 55-year-old need to retire comfortably? appeared first on The Motley Fool Australia.

More reading

• Coles vs. Woolworths. Which ASX consumer staples stock is the best buy?
• If I invest $10,000 in Westpac shares, how much passive income will I receive in 2027?
• Here’s why I’d buy and hold CSL and Cochlear shares for 10 years
• The superannuation portfolio that lets you retire at 60, not 67
• 2 ASX dividend shares with yields above 7%

Motley Fool contributor Mark Verhoeven 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.

Westpac Banking Corp (ASX: WBC) shares may be one of the most popular options for dividends on the ASX due to the company’s perceived stability and dividend yield.

The ASX bank share typically has a larger dividend yield than competitors like Commonwealth Bank of Australia (ASX: CBA) and Macquarie Group Ltd (ASX: MQG), which remains the case. It also usually has a similar dividend yield to stocks like ANZ Group Holdings Ltd (ASX: ANZ) and National Australia Bank Ltd (ASX: NAB).

Thankfully, Westpac has increased its payout substantially since 2020, when it was forced to reduce it.

The bank’s dividend grew again in the FY26 half-year result as the business delivered a slight 1.3% rise of the dividend per share to 77 cents. This was funded by a 1% increase of the underlying net profit after tax (NPAT).

In this article, we’re going to look at Westpac’s potential 2027 financial year annual dividend, which will be paid during 2027.

2027 dividend projection for owners of Westpac shares

According to Commsec’s projection, the ASX bank share is expected to pay an annual dividend per share of $1.55 in FY27. That would represent a year-over-year increase of less than 1%. But growth is growth.

At the time of writing, this forecast translates into a dividend yield of 4.25% excluding franking credits and 6.1% including franking credits.

If someone were to invest $10,000 in Westpac, they would be able to buy 274 Westpac shares, with a little bit of cash left.

With those 274 Westpac shares, investors may receive $424.70 of cash dividends and $606.71 overall, including the franking credits.

Is this a good time to invest in the ASX bank share?

According to CMC Invest, there have been nine analyst ratings calls on the business in the last three months.

Of those nine, six of them were a sell and three of them were a hold. Therefore, the investment professionals are mostly negative about the appeal of the ASX bank share’s valuation right now.

The average price target of those nine ratings is $32.70. That means, collectively, those analysts are projecting the Westpac share price could drop by around 10% within the next year.

The Westpac share price was last that low in July 2025 – within the last 12 months – so it’s not crazy to think the bank could drop back to that level.

For now, there seem to be more appealing ASX shares out there to buy.

The post If I invest $10,000 in Westpac shares, how much passive income will I receive in 2027? appeared first on The Motley Fool Australia.

More reading

• Buy, hold, sell: BHP, CBA, and Rio Tinto shares
• How to make $50,000 of passive income from ASX shares like CBA
• 3 top ASX 200 shares I’d buy for a self-managed superannuation fund
• Are Macquarie, Qantas, and WiseTech shares buys?
• How much do I need in my superannuation to earn an annual $60,000 passive income?

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

CSL Ltd (ASX: CSL) and Cochlear Ltd (ASX: COH) have both tested investors’ patience recently.

That may be discouraging for existing shareholders, but I think it has also created an opportunity for investors willing to look well beyond the next result.

Here is why I would buy and hold both ASX healthcare shares.

CSL shares

Many investors see CSL simply as a collection of medicines. I think its real strength is the global biological supply chain it has built over decades.

Collecting plasma at scale, turning it into specialist therapies, meeting demanding regulatory standards, and reliably supplying patients around the world requires infrastructure and expertise that cannot be created quickly.

The biotechnology company’s recent performance has clearly fallen short of expectations. CSL lowered its FY26 outlook in May and acknowledged problems including weaker financial returns, operational complexity, disappointing research productivity, and the underperformance of the Vifor acquisition.

Those issues explain why confidence has fallen so sharply. Management now needs to simplify the organisation, improve plasma and manufacturing efficiency, and become more disciplined with capital.

I still think the foundations are attractive. CSL expects immunoglobulin demand to grow at a mid to high single-digit rate, supported by significant unmet medical need. Its May update suggested only around 35% of potential patients across major immunoglobulin indications are diagnosed, which leaves a large long-term opportunity if CSL can improve execution.

The next few years may be more about repairing the business than returning immediately to its former growth rate. But I think the company’s plasma network, rare disease franchise, scientific capabilities, and global reach still give it the ingredients for a recovery over time.

Cochlear shares

Cochlear is another ASX healthcare share I’d buy and hold. 

The appeal of the global leader in implantable hearing solutions goes well beyond selling industry-leading products.

A recipient can remain connected to the company for years through sound processor upgrades, accessories, digital services, clinical support, and new technology. That creates a relationship that can deepen long after the original procedure.

Cochlear has also spent years developing its next generation of products. The Nucleus Nexa System, launched in 2025 after two decades of research and development, is the first cochlear implant system with upgradeable firmware.

The current year has been challenging. Cochlear reduced its FY26 underlying profit guidance after softer implant demand in developed markets, hospital capacity constraints, weaker referrals, Middle East disruption, currency movements, and restructuring costs.

I see those pressures as important near-term obstacles rather than a reason to abandon the long-term story. Ageing populations, improving awareness, and better referral pathways could help more people receive treatment over time.

Foolish takeaway

Healthcare compounders rarely reward investors evenly.

Years of research, infrastructure investment, regulatory work, and market development can be followed by periods when growth slows and confidence disappears.

I think that is where CSL and Cochlear currently sit. Their immediate problems are highly visible, while the capabilities built over decades are easier for the market to overlook.

Both companies need to execute better from here, and patience could be required. But I believe their positions in global healthcare remain difficult to recreate.

That is why I would be comfortable buying CSL and Cochlear shares today and holding them through the next stage of their development.

The post Here’s why I’d buy and hold CSL and Cochlear shares for 10 years appeared first on The Motley Fool Australia.

More reading

• Here’s what brokers tip for CSL shares over the next 12 months
• How have CSL shares performed over 10 years?
• Cochlear shares have bounced 16%. Should you buy, hold, or sell now?
• What did the market look like 10 years ago? Here’s what’s changed for the ASX 200
• Would Warren Buffett buy CSL shares?

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

Most Australians hope to retire on autopilot, clocking off at 67 because that is when the Age Pension turns up, not because their superannuation told them to stop. But super runs on its own clock, and it is seven years faster than the pension’s.

Once you turn 60 and meet a condition of release, your superannuation balance is yours to draw on. The real question isn’t whether you’re allowed to retire early. It’s whether your portfolio can actually carry you through the years before the Age Pension exists, and comfortably beyond it.

The seven-year delay

The Association of Superannuation Funds of Australia (ASFA) estimates that a comfortable single retirement needs a balance of around $630,000, generating roughly $54,840 a year. A comfortable couple needs about $730,000, for around $77,375 a year. Modest retirements need far less: $110,000 for a single and $120,000 for a couple.

Those figures assume retirement begins at 67 and the money lasts to around 85. Retire at 60 instead, and there is no Age Pension for seven years. Every dollar of income in that gap has to come from the portfolio alone.

What the portfolio actually needs to do

There are two honest ways to fund that gap. Draw the portfolio down at 5% a year, spending some capital along with the growth. Or aim for a 4% income yield and leave the capital untouched.

For a single retiree chasing $54,840 a year, a 5% drawdown needs a portfolio of roughly $1.1 million. Relying purely on a 4% yield lifts that to around $1.37 million. Couples chasing $77,375 a year need about $1.55 million under the drawdown approach, or close to $1.93 million on yield alone.

That is meaningfully more than ASFA’s benchmark, because a self-funded bridge to 67, and beyond, carries no pension safety net. A portfolio built around income-producing assets, such as dividend-paying quality companies like Washington H. Soul Pattinson and Co Ltd (ASX: SOL) or a broad market ETF like the Vanguard Australian Shares Index ETF (ASX: VAS) can realistically produce yields in that 4% range from Australian shares alone.

The last $10,000 isn’t worth it

Here is the trap. Once your portfolio clears the comfortable benchmark, each extra year of work buys diminishing returns. An extra $200,000 in the portfolio, at a 5% drawdown, adds just $10,000 a year of income.

Is another three, five, or seven years at a desk worth $10,000 a year, when nobody can guarantee they will live long enough, or stay healthy enough, to spend it? For many Australians already past the comfortable line, the honest answer is no.

Tax noise, real advantage

Division 296, the new tax on super balances above $3 million, dominated personal finance headlines before the new capital gains tax reforms. It is real, but it only bites earnings on balances above $3 million, and only realised earnings at that. For the vast majority of Australians building a $700,000 to $1.5 million retirement portfolio, superannuation remains one of the most tax-effective structures available, with earnings taxed at up to 15% in the accumulation phase and typically 0% once a pension begins.

Foolish Takeaway

Retiring at 60 was never really about hitting an age. It’s about whether your portfolio can pay you an income without relying on a payslip, or eventually, the Age Pension. Once that portfolio clears its target, whether through a 5% drawdown or an approximate 4% yield, working longer buys smaller and smaller returns. Sometimes the smartest retirement decision is simply knowing when to stop chasing more.

The post The superannuation portfolio that lets you retire at 60, not 67 appeared first on The Motley Fool Australia.

More reading

• 2 ASX dividend shares with yields above 7%
• Why these Vanguard ETFs could be strong buys
• Buy, hold, sell: BHP, CBA, and Rio Tinto shares
• Where to invest $10,000 in ASX 200 shares in July
• Why the 5 years before retirement could make or break your future

Motley Fool contributor Leigh Gant 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 Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I love finding ASX dividend shares that offer investors great dividend yields. A yield of 7% or more is very appealing, even in this higher interest rate era.

I’d only want to buy businesses that can provide stable or growing payouts. If we’re aiming for passive income, I want to have confidence that those cash payments will continue flowing.

Of course, dividends are not guaranteed from any business. But, some companies already have a track record of reliable or increasing payouts. Let’s get into two great ideas.

Universal Store Holdings Ltd (ASX: UNI)

Universal Store is one of the leading retailers on the ASX, in my view, with how impressively it has managed to grow earnings over the last five years through all economic conditions.

It’s best known for its premium youth fashion-focused businesses Universal Store and Perfect Stranger.

Those two businesses have delivered pleasing growth at their existing store network, and they continue to expand. In the first 43 weeks of FY26, the company reported like-for-like sales growth of 8.5% for Universal Store and 12.9% for Perfect Stranger.

Partially thanks to four new Universal Stores and seven new Perfect Stranger stores in the year to date (at the point of that update), those two segments were able to report total sales growth of 11.8% and 39.8% respectively in the first 43 weeks of FY26.

It’s clearly doing a great job of winning more retail spending from customers, while also growing earnings. The mid-point of its FY26 guidance suggests overall sales could rise 11.5% year-over-year, while underlying operating profit (underlying EBITA) could rise 15.4% – faster than the sales growth.

Universal Store has increased its annual dividend per share each year since it started paying passive income in FY21. Its latest two dividends come to 42.5 cents per share, which translates into a grossed-up dividend yield of 8.3%, including franking credits.

Charter Hall Long WALE REIT (ASX: CLW)

The other ASX share I want to highlight with a yield of more than 7% is this real estate investment trust (REIT) that’s invested in an array of properties across Australia.

It’s invested in things like pubs, service stations, industrial and logistics, office, data centres and social infrastructure.

At December 2025, the business had 515 assets worth around $6 billion with an average weighted average lease expiry (WALE) of approximately nine years and an occupancy rate of 99.9%, with 99% of the portfolio leased to blue-chip tenants. That shows the business is maximising its rental potential for the long-term.

Pleasingly, the rental income continues to grow, which can help fund larger distributions in the coming years. Around half of the portfolio has CPI-linked rental growth, while fixed increases provide rental growth for the rest of the properties.

In the first half of FY26, the business achieved like-for-like rental growth of 3%, which helped fund a 2% rise in the distribution to 25.5 cents per security. At the time of writing, the attractive valuation offers a distribution yield of 7.02%.

I think these ASX shares would make excellent investments today.

The post 2 ASX dividend shares with yields above 7% appeared first on The Motley Fool Australia.

More reading

• How much do I need in my superannuation to earn an annual $60,000 passive income?
• 2 ASX blue-chip shares offering big dividend yields
• How much passive income can I earn off a $50,000 portfolio?
• How to build a successful ASX dividend portfolio
• How much could a $500,000 ASX share portfolio pay in dividends?

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

The team at Morgans has been busy this week updating its views on three of the biggest names on the Australian share market.

Does it rate them as buys, holds, or sells? Let’s find out what the broker is saying about them:

BHP Group Ltd (ASX: BHP)

Morgans was pleased with BHP’s performance during the fourth quarter, highlighting that its operational performance was better than it was expecting.

However, due to its valuation and concerns that the market is too optimistic on BHP’s copper prospects, Morgans only has a hold rating and $60.20 price target on its shares. It said:

A good end to FY26 for BHP, with an operational result largely in line with consensus and a touch ahead of our estimates in places. Normally a source of volatility, BHP’s coal operations posted decent consensus beats at both BMA and NSWEC. FY27 guidance looks steady versus our existing estimates, although consensus does look high on group copper. Best-in-breed global diversified miner in what remains a healthy upcycle for resources. We maintain our HOLD rating and A$60.20 target price.

Commonwealth Bank of Australia (ASX: CBA)

The broker has been looking at banking giant CBA ahead of its results next month. Unfortunately, it continues to think that its valuation is stretched and has retained its sell rating on CBA shares with a trimmed price target of $117.63. It commented:

We make updates to our forecasts ahead of the FY26 result in August. Net result is 1-2% downgrades to FY27-28F EPS. 12 month target price reduces 1% to $117.63. Sell retained, given stretched valuation metrics remain implied in the share price (c.26x PER, 3.7x PBV, 2.9% cash yield).

Rio Tinto Ltd (ASX: RIO)

Finally, Morgans was also pleased with Rio Tinto’s performance in the last quarter, noting that Pilbara iron ore shipments were stronger than expected and its copper cost guidance has been trimmed.

However, with Rio Tinto shares rising strongly over the past 12 months, the broker has retained its hold rating with a $163.00 price target. It explains:

RIO posted a healthy Q2 where it matters, with Pilbara shipments beating consensus (+2%), while we see the headline Simandou miss (-68% vs consensus) as a net positive: a slower Simandou ramp supports iron ore benchmarks, and each US$10/t on the benchmark is worth ~US$2.5bn of annual EBITDA to RIO’s far larger Pilbara business. The sting in the tail was Kennecott, with a late June converting furnace breach requiring a ~75-day full rebuild, hitting H2 refined copper and gold output (total copper including saleable matte unchanged).

Copper C1 guidance halved to US30-50c/lb, on strong by-prod prices, a material margin tailwind into the H2 result. Trading back close to where we see fair value, RIO remains one of the highest quality global exposures to a sector enjoying a multi-year upcycle (albeit not without its volatility). We maintain our HOLD rating, A$163.00 TP (was A$165.00).

The post Buy, hold, sell: BHP, CBA, and Rio Tinto shares appeared first on The Motley Fool Australia.

More reading

• How to make $50,000 of passive income from ASX shares like CBA
• Does Macquarie rate BHP shares a buy, hold or sell right now?
• 3 top ASX 200 shares I’d buy for a self-managed superannuation fund
• Should you buy Rio Tinto and these ASX shares?
• How much do I need in my superannuation to earn an annual $60,000 passive income?

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

Vanguard offers plenty of exchange-traded funds (ETFs), which can make choosing between them harder than it first appears.

I think the best place to start is with what an investor wants the fund to achieve.

The three Vanguard ETFs below could each be strong buys for different reasons.

Vanguard Diversified High Growth Index ETF (ASX: VDHG)

Some investors want broad exposure without having to assemble and maintain a collection of shares or funds.

That is where this Vanguard ETF stands out. The VDHG ETF combines Australian shares, international shares, emerging markets, and a smaller allocation to defensive assets inside one investment. Vanguard also handles the rebalancing, so the portfolio does not gradually drift away from its intended structure.

I think that simplicity can be strong over a long holding period.

Investors can keep adding money without having to decide which country or asset class to allocate to next. They also avoid the temptation to keep changing the portfolio whenever one market becomes popular.

The fund still has a growth-focused structure, so its value can fall during weak share market periods. But for someone looking for an all-in-one investment that can sit at the centre of a long-term strategy, I think this ETF is a strong option.

Vanguard MSCI International Small Companies Index ETF (ASX: VISM)

Many global ETFs are dominated by businesses that investors already know.

The VISM ETF looks further down the market. It gives investors exposure to smaller companies across developed markets outside Australia. These businesses operate across a wide range of industries and can include companies serving local markets, specialist niches, and emerging areas of demand.

I like this approach because the world economy extends far beyond the largest technology companies and consumer brands.

Smaller businesses can have more room to expand from their current size, particularly when they find a strong position in a growing market. A broad ETF spreads the investment across many companies rather than relying on one small-cap idea working out.

The trade-off is greater volatility. Smaller companies can be more sensitive to borrowing costs, economic conditions, and changes in investor confidence.

I would consider the VISM ETF as a long-term addition alongside a broader international ETF, especially for investors whose global exposure is concentrated in the market’s biggest names.

Vanguard Australian Shares High Yield ETF (ASX: VHY)

The third ETF is aimed more directly at income.

This Vanguard ETF invests in Australian companies selected for their higher dividend yields. That can appeal to retirees and other investors who want their portfolio to produce regular distributions.

Australian companies also have the potential to attach franking credits to their dividends, which may improve the after-tax outcome for eligible investors.

I think the appeal here goes beyond the headline payout. A well-built income strategy can reduce the need to sell shares whenever cash is required.

Investors should still pay attention to where the income comes from. The Australian market has a strong presence from banks and resources companies, and their dividends can rise or fall with profits and economic conditions.

The VHY ETF could therefore suit investors who want higher income and understand that distributions will not remain identical every year.

Foolish takeaway

I think the strongest ETF decisions begin with giving each fund a clear purpose.

One investor may value the convenience of having an entire portfolio managed inside a single ETF. Another may want to widen global exposure beyond the familiar market leaders, while an income investor may place greater weight on distributions.

These Vanguard ETFs cover each of those goals. The right choice will depend on the rest of the portfolio, the investor’s time horizon, and how much volatility they are prepared to accept. For long-term investors who understand what they are buying, I think these three ETFs could all be strong choices.

The post Why these Vanguard ETFs could be strong buys appeared first on The Motley Fool Australia.

More reading

• Own Vanguard ASX ETFs? It’s dividend payday!
• VAS vs. VHY: Which is the better ASX ETF for retirement?
• I’d buy these 5 ASX dividend investments for retirement income
• How Vanguard’s biggest ASX ETFs performed in FY26
• Why I think these Vanguard ETFs are perfect buy and hold investments

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 recommended Vanguard Australian Shares High Yield ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

July could be a good time to put fresh money to work on the ASX.

If I had $10,000 to invest in ASX 200 shares this month, I would want a mix of global growth, specialist technology, and businesses with long runways.

Here are three shares I would consider buying.

Breville Group Ltd (ASX: BRG)

I would start with Breville. An investment in the appliance company could give investors exposure to a business that has taken ordinary kitchen categories and turned them into premium global products.

Breville is best known for coffee machines, cooking appliances, food preparation products, and other household equipment.

The reason it stands out is that its products are often tied to habits, not just purchases. A coffee machine can become part of the morning routine, while cooking products can sit at the centre of how people prepare food at home.

That gives the brand more depth than a simple appliance label.

Breville is still exposed to consumer spending cycles, and premium products can face pressure when households become cautious. But its global footprint, strong product design, and brand positioning give it a long runway if management keeps executing well.

Hub24 Ltd (ASX: HUB)

Another top ASX 200 share to buy could be Hub24.

The company operates an investment and superannuation platform used by financial advisers to manage client portfolios, reporting, administration, and investment options.

This is not the most obvious growth story on the ASX, but it is an important one. Australia has a large and growing pool of wealth sitting in superannuation and investment accounts. Advisers need better technology to manage that money, and clients increasingly expect clearer reporting, broader choice, and more efficient administration.

Hub24 has been taking market share from older platform providers by offering a more modern service to advisers and wealth professionals.

Competition remains a risk, and platform margins can attract pressure over time. But if the company keeps winning advisers and attracting funds, it could continue benefiting from one of the biggest structural tailwinds in Australian finance.

Pro Medicus Ltd (ASX: PME)

Finally, Pro Medicus could be an ASX 200 share to buy with the funds.

Pro Medicus is one of the ASX’s highest-quality software shares. Its Visage imaging platform is used by hospitals and radiology groups to view, manage, and distribute medical images across large healthcare networks.

The business solves a problem that is becoming more demanding. Medical scans are getting larger, imaging volumes continue to rise, and healthcare providers need systems that can move quickly across complex environments.

That is where Pro Medicus has built its reputation. Its contracts can be large, long term, and difficult to displace once the software is embedded inside hospital workflows.

The main risk is valuation. Pro Medicus often trades on high expectations, which means any disappointment can hit the share price hard.

But as a long-term holding, its mix of healthcare demand, specialist software, and global expansion potential remains compelling.

The post Where to invest $10,000 in ASX 200 shares in July appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Pro Medicus. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Hub24. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Hub24 and Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Retirement isn’t won on your last day at work. It’s won in the five years before it.

That final stretch is where small decisions can snowball into six-figure differences in your retirement savings. Get it right, and you’ll likely enter retirement with confidence. Get it wrong, and you could spend decades wishing you’d planned a little better.

Here’s why those last five years matter so much.

Your super is usually at its biggest

For most Australians, their super balance is higher than it’s ever been during the final years before retirement. That’s important because investment returns work in percentages.

A 10% return on a $100,000 balance earns $10,000. The same 10% return on a $700,000 balance adds $70,000.

In other words, your super is finally big enough for compounding to do some serious heavy lifting. Every extra contribution and every positive year in the market can have an outsized impact on your retirement balance.

You’re still adding to the pile

There’s another powerful force working in your favour. If you’re still employed, your employer continues making compulsory super contributions.

Those contributions, combined with investment earnings, mean your nest egg for retirement is still growing.

The moment you retire, that process flips. Employer contributions stop. Instead of adding money, you begin withdrawing it to fund your lifestyle.

Many Australians underestimate just how significant that transition is.

Mistakes become far more expensive

Early in your career, poor investment decisions can often be recovered over decades.

Five years before retirement? Not so much. Taking excessive risks in search of higher returns could leave you exposed to a major market downturn just before you stop working.

On the other hand, becoming too conservative too early could mean missing years of valuable growth. Finding the right balance between protecting your wealth and continuing to grow it becomes increasingly important.

This is when retirement planning becomes real

It’s also time to move beyond simply checking your super balance.

Ask yourself some practical questions. How much income will you actually need for retirement? Will you receive a full or part Age Pension? Should you pay off debt before retiring?

Would a transition-to-retirement strategy help you reduce your working hours while keeping super contributions flowing?

These aren’t decisions you want to leave until your farewell morning tea.

Don’t overlook the emotional side

Many people spend years planning their finances but almost no time planning what retirement will actually look like.

Leaving full-time work is one of life’s biggest transitions. Some people thrive. Others quickly discover they miss the routine, purpose, and social connection that work provided.

That’s why many Australians are choosing a gradual retirement instead of stopping overnight. Working part-time for a few years can ease the financial pressure while making the lifestyle adjustment much smoother.

Foolish takeaway

The final five years before retirement aren’t simply a countdown. They’re an opportunity.

It’s your last chance to boost your super through employer contributions, salary sacrifice, or voluntary contributions while giving compounding one final opportunity to work its magic.

Retirement isn’t determined by one spectacular investment or one lucky year in the market.

More often than not, it’s the decisions you make in those final five years that determine whether you spend retirement worrying about money, or enjoying the freedom you’ve spent decades building toward.

The post Why the 5 years before retirement could make or break your future appeared first on The Motley Fool Australia.

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