I think the best shares for a retirement portfolio are the ones you can put in the bottom drawer and not have to worry about.
Three shares that tick a lot of boxes for me in this regard are listed below. Here’s why I like them:
CSL Limited (ASX: CSL)
I believe this global biotech star is one of the best growth options for retirees on the Australian share market. Although its shares do trade on higher than average multiples, I feel the quality of its business and its strong long-term growth potential justify this. Especially given its growing plasma collection network and the sudden emergence of its Seqirus influenza business.
National Storage REIT (ASX: NSR)
Retirees in search of income might want to consider this real estate investment trust. As its name implies, National Storage is a REIT focused on self-storage assets. Due to population growth, downsizing, and acquisition opportunities in a fragmented market, I feel National Storage is capable of growing its earnings and distribution at a solid rate over the next decade. At present the company’s shares offer investors a trailing yield of 5.6%.
REA Group Limited (ASX: REA)
Another growth option that I think would be suitable for retirees is REA Group. I believe the real estate listings giant is one of the highest quality companies on the Australian share market and capable of growing its earnings even in a cooling housing market due to its paid depth advertisements. I’m not alone in thinking this way, either. A note out of Morgans last week revealed that its analysts have an add rating and $95.21 price target on the company’s shares. Its analysts expect REA Group to continue its growth thanks to the increasing volume of these paid depth advertisements.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of June 30th
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended National Storage REIT and REA Group Limited. 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 Scott Phillips.
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