Clearly, an ambition of all investors is to turn their portfolio into a seven-figure one.
So, what's the best and most direct means of achieving this?
A relatively simple and yet highly successful strategy is to buy high-quality companies with above-average growth prospects when they are trading at relatively attractive prices. Certainly, it may take time for them to come good, but by holding them for a number of years their potential can be allowed to manifest itself via a higher share price.
With this in mind, here are three high-quality stocks that trade at attractive prices and which could help you to grow your way to a seven-figure portfolio.
Woodside Petroleum Limited
When it comes to growth potential, Woodside Petroleum Limited (ASX: WPL) has it by the bucket load. Indeed, the oil and gas exploration company is expected to increase its bottom line at an annualised rate of 18.9% over the next two years.
However, this doesn't mean that Woodside trades at a stupendously high premium to the wider market so as to reflect its high-growth status. In fact, shares in the company trade on a P/E ratio of just 12.8, which equates to a price to earnings growth (PEG) ratio of just 0.68.
This highlights the fact that Woodside offers growth at a very reasonable price and, as such, it could help to significantly boost the capital value of your portfolio.
AMP Limited
Despite rising by 17% during the course of 2014, shares in AMP Limited (ASX: AMP) still seem to offer great value for money. Certainly, a P/E ratio of 16 seems high at first glance, but with earnings set to grow by almost 70% over the next two financial years, it puts AMP on a PEG ratio of just 0.53.
Clearly, capital gains could be on offer if AMP's forecasts are met. However, it could also help your portfolio to reach the magic seven-figures via a partially franked yield of 4.8%. Moreover, with such strong earnings growth pencilled in, AMP could be yielding as much as 5.6% come FY 2016. As a result, its total return could prove to be very attractive indeed.
QBE Insurance Group Ltd
Where there is a problem, there is an opportunity. Indeed, this seems to be true of QBE Insurance Group Ltd (ASX: QBE) after its 'annus horibilis' of 2013 when the insurer made a loss.
The opportunity, though, presents itself in the form of a PEG ratio of just 0.13. This results from a quick turnaround back to profitability in the current year, followed by growth of 30% next year.
Although shares in QBE have fallen by 4% in 2014, they could be set for a rise and, in doing so, could help to push your portfolio towards the $1million mark.
