With many economists predicting that interest rates will remain on hold at the record low of 1.5% for the next 12 months, I think investors should skip savings accounts and put their money to work in the share market.
If I had $10,000 in a bank account I would consider investing it in one of these three ASX shares:
BHP Billiton Limited (ASX: BHP)
If your risk profile allows you to invest in the resources sector then my first pick would have to be mining giant BHP. Thanks to improved outlooks for both oil and iron ore prices, I think BHP is well-positioned to outperform in 2018. After all, almost two-thirds of its EBITDA is generated through its petroleum and iron ore businesses, making the price performance of these two commodities vitally important.
Domino's Pizza Enterprises Ltd. (ASX: DMP)
With the pizza operator's shares down sharply this year, investors can pick them up at a 34% discount to their 52-week high. While FY 2017 was a big disappointment, I expect the company will bounce back with a strong FY 2018. Beyond that I think Domino's could be a great long-term investment due to its expansion plans. The company is targeting 4,650 stores by 2025, an increase of almost 120% on its store count at the end of FY 2017.
Nanosonics Ltd. (ASX: NAN)
Although this infection control specialist's trophon EPR product has seen its installed base grow at a rapid rate over the last few years, it still only has a 12% share of the global market. Considering the product is regarded as best in class and wholly effective at disinfecting ultrasound probes, I expect that it will continue to gobble up market share over the next decade.
