How to become rich by investing in ASX shares

The Webjet Limited (ASX:WEB) share price has been a big mover over the last decade. Here's how much $20,000 invested in its shares and three others would be worth today…

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I'm a big advocate of buy and hold investing and believe it is one of the best ways to grow your wealth over the long term.

To demonstrate how successful it can be, I've picked out a number of popular ASX shares to see how much a $20,000 investment ten years ago would be worth today.

They are as follows:

Although the Blackmores Limited (ASX: BKL) share price is down almost 50% from its 52-week high, the health supplements company has still been one of the best buy and hold investments on the local market thanks to strong demand for its products in China. Over the last decade its shares have generated an average total return of 22.5% per annum. This means a $20,000 investment ten years ago would now be worth a touch over $152,000.

The ResMed Inc. (ASX: RMD) share price has been a strong performer over the last decade thanks to increasing demand for its leading medical device products in a growing sleep treatment market. This has led to an average total return of 19.1% per annum, which would have turned a $20,000 investment into $115,000.

Thanks largely to the shift to online travel booking and the growing popularity of its numerous brands, Webjet Limited (ASX: WEB) shares have been amongst the best performers on the Australian share market over the last ten years. During this time Webjet's shares have provided an average total return of 31.5% per annum, making a $20,000 investment worth just over $309,000 today.

A series of successful investments in the likes of hardware giant Bunnings and Coles Group Ltd (ASX: COL) and a generous dividend policy means that Wesfarmers Ltd (ASX: WES) shares have provided shareholders with an average total return of 12% per annum. This would have turned a $20,000 investment into just over $62,000.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Blackmores Limited, COLESGROUP DEF SET, and Wesfarmers Limited. The Motley Fool Australia has recommended ResMed Inc. and Webjet Ltd. 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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