The ASX ETF portfolio I'd build if I wanted to sleep well at night

Investing doesn't have to feel stressful. Yet for many people, share market volatility, constant negative headlines, and the fear of picking the wrong stock can turn investing into a source of anxiety rather than wealth creation.

If my goal were simple peace of mind, while still giving my money a strong chance to grow, I would build a portfolio around high-quality, globally diversified ASX exchange traded funds (ETFs).

These would be the kind you can buy, hold, and largely ignore, confident that time and compounding are doing the work for you.

With that in mind, here's a three-ETF portfolio I would build.

iShares Global Consumer Staples ETF (ASX: IXI)

The foundation of this portfolio would be the iShares Global Consumer Staples ETF.

This fund invests in businesses that sell everyday essentials. These are the products people keep buying regardless of economic conditions. Its holdings include companies like Walmart (NYSE: WMT), Procter & Gamble (NYSE: PG), Coca-Cola (NYSE: KO), PepsiCo (NASDAQ: PEP), and Nestlé (SWX: NESN).

What makes the iShares Global Consumer Staples ETF so appealing from a sleep-well-at-night perspective is its predictability. These companies tend to generate steady cash flows, maintain strong pricing power, and perform relatively well during market downturns. While they may not be the fastest growers, they provide stability when share markets get rough.

iShares S&P 500 ETF (ASX: IVV)

Another addition to the portfolio would be the popular iShares S&P 500 ETF.

This ASX ETF provides exposure to 500 of the largest and most successful stocks in the United States. These span technology, healthcare, finance, consumer goods, and industrials stocks. Its holdings include Microsoft (NASDAQ: MSFT), Apple (NASDAQ: AAPL), Alphabet (NASDAQ: GOOGL), McDonald's (NYSE: MCD), and Visa (NYSE: V).

Rather than trying to guess which US stock will win next, this fund lets investors own the entire engine room of American capitalism. Over decades, this broad exposure has proven to be one of the most reliable wealth-building tools available to everyday investors.

Warren Buffett has often suggested that investors just buy a low cost index fund like this one and it isn't hard to see why.

Betashares Global Quality Leaders ETF (ASX: QLTY)

To round things out, I would add the Betashares Global Quality Leaders ETF to the portfolio.

This ASX ETF focuses on companies with strong balance sheets, high returns on equity, and sustainable competitive advantages. Its portfolio includes names like Visa, Microsoft, Nvidia (NASDAQ: NVDA), L'Oréal (FRA: LOR), and ASML Holding (NASDAQ: ASML).

This ETF is designed to avoid weak businesses and instead concentrate on stocks that can compound earnings through economic cycles.

It was recently recommended by analysts at Betashares.

The post The ASX ETF portfolio I'd build if I wanted to sleep well at night appeared first on The Motley Fool Australia.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended ASML, Alphabet, Apple, Microsoft, Nvidia, Visa, and iShares S&P 500 ETF. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Nestlé and has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has positions in and has recommended iShares International Equity ETFs - iShares Global Consumer Staples ETF. The Motley Fool Australia has recommended ASML, Alphabet, Apple, Microsoft, Nvidia, Visa, 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.

The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2025