On Tuesday the Reserve Bank of Australia opted to keep rates on hold at 1.5% for the 23rd consecutive meeting.
I feel this will remain the case for many more meetings and expect a rate hike no earlier than 2020.
Because of this, if I had $10,000 sitting in a bank account I would put it to work in the share market instead of having it gather paltry interest.
Here are three top shares I would consider investing these funds into:
A2 Milk Company Ltd (ASX: A2M)
I think that a2 Milk Company would be a great buy and hold investment due to the insatiable demand for its infant formula products in China, its relatively small market share in the country, and its expansion into new territories. It was because of the strong demand for its infant formula products that the company posted a 116% increase in net profit after tax to NZ$195.7 million in FY 2018. While I expects its growth to moderate this year, I still believe it will be at an above-average level that justifies the premium its shares trade at today.
Rural Funds Group (ASX: RFF)
Investors interested in earning income from their investments might want to consider Rural Funds. This real estate property trust is focused on agricultural assets and has developed a diverse and quality portfolio over the last few years. This recently led to the company posting a solid 26% increase in total adjusted funds from operations to $32.3 million. Because of this strong performance and its positive outlook for the year ahead, management has provided distribution guidance of 10.43 cents per unit in FY 2019. This equates to a forward yield of 4.8% based on its last close price.
Xero Limited (ASX: XRO)
One of my favourite tech shares on the local market would have to be this accounting software company. Whilst its expansion into the U.S. has been slower than many had expected, I think it is well worth investors being patient with it. I remain confident that the quality of its product will allow the company to win a good share of the U.S. market in the next decade, complementing its growing share of the ANZ and UK markets.
