MENU

Here are 3 buy and hold investments I would make today

With interest rates at record lows and unlikely to improve any time soon, if I had a spare $15,000 sitting in a bank account I would invest it in the share market today with a long-term view.

After all, data provided by Fidelity Australia reveals that the local share market has provided an average annual return of 9.1% during the last 30 years. This means that a $15,000 investment 30 years ago would be worth a whopping $200,000 today.

Whilst the same level of return is by no means guaranteed over the next 30 years, I feel reasonably confident that the market will deliver similar results.

In light of this I would take that $15,000 and invest it evenly across these three shares:

CSL Limited (ASX: CSL)

I believe this fast-growing biotherapeutics company is one of the best buy and hold investment options on the market today. In the last decade CSL has grown its earnings by an average of 14.1% per annum. Thanks to its lucrative immunoglobulins business and its fledgling Seqirus influenza vaccine business, I expect the company to deliver a similar level of growth for the foreseeable future. Although its shares are a little on the expensive side, I believe they will prove to be worth every cent.

InvoCare Limited (ASX: IVC)

With a 33% market share, InvoCare is the largest operator of funerals and cemetery services in Australia. Due to Australia’s ageing population, I believe its market-leading position puts the company in the driving seat to deliver solid and predictable earnings and dividend growth for at least the next decade. As a result, I think it is hard to argue against it being a strong candidate for a buy and hold investment today.

Mayne Pharma Group Ltd (ASX: MYX)

This fast-growing pharmaceutical company has seen its shares come under significant selling pressure in the last few months due to allegations of price fixing and concerns over the impact President Trump will have on the pharmaceutical industry. I think this has left its shares trading at a great price for patient buy and hold investors. Especially considering the company has a lucrative pipeline of generic drugs that combined have the potential to be worth several billion dollars in sales each year.

Finally, another fantastic buy and hold investment option is this quality dividend share. Thanks to a decade of successive dividend increases it is easily one of the best dividend shares on the market in my opinion.

HOT OFF THE PRESSES: Motley Fool's #1 Dividend Pick for 2017!

With its shares up 155% in just the last five years, this 'under the radar' consumer favourite is both a hot growth stock AND our expert's #1 dividend pick for 2017. Now we're pulling back the curtain for you... And all you have to do to discover the name, code and a full analysis is click the link below!

Simply click here to receive your copy of our brand-new FREE report, "The Motley Fool's Top Dividend Stock for 2017."

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

HOT OFF THE PRESSES: My #1 Dividend Pick for 2017!

With its shares up 155% in just the last five years, this ‘under the radar’ consumer favourite is both a hot growth stock AND our expert’s #1 dividend pick for 2017. Now we’re pulling back the curtain for you... And all you have to do to discover the name, code and a full analysis is enter your email below!

Simply enter your email now to receive your copy of our brand-new FREE report, “The Motley Fool’s Top Dividend Stock for 2017.”

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.