I think one of the most exciting areas to invest at the moment is the tech sector.
At this side of the market I believe there are a good number of companies with the potential to grow strongly over the next decade and generate outsized returns for shareholders.
Three tech shares that I would buy in June are listed below. Here's why:
Altium Limited (ASX: ALU)
Although this design software company's shares have been on fire over the last couple of years, I don't think it is too late to invest if you're prepared to make a long term investment. This is due to its exposure to an Internet of Things (IoT) market that is expected to grow materially over the next decade. In fact, research firm Statista estimates that the IoT market will grow from 23 billion devices in 2018 to 75 billion devices in 2025. As these devices will more often than not have printed circuit boards (PCBs) inside them, I expect demand for Altium's award-winning PCB design software to increase significantly over the next decade and drive strong earnings growth.
Appen Ltd (ASX: APX)
Another top tech share which has exposure to a rapidly growing market is Appen. It is a global leader in the development of high-quality, human-annotated training data for machine learning and artificial intelligence. According to a recent presentation, management expects the AI market to grow to be worth up to US$191 billion per annum by 2025. With approximately 10% of this estimated to relate directly to Appen's services, I believe it is well-placed to continue its impressive earnings growth for many years to come.
WiseTech Global Ltd (ASX: WTC)
A final tech share to consider buying in June is this logistics solutions company. I'm a big fan of WiseTech Global due to the quality of its CargoWise One platform. This platform provides an enterprise-class management system for logistics businesses globally and currently counts 12,000 of the world's logistics companies across 130 countries as customers. This includes 38 of the top 50 global third-party logistics providers and all 25 of the 25 largest global freight forwarders worldwide. I believe this is a testament to the quality of the platform.
