At the weekend I looked at how a $20,000 investment had fared over the last decade if you’d invested in a number of popular ASX shares.
Some of the results, which can be seen here, were staggering and demonstrated how rewarding long-term investing can be.
With that in mind, I thought I would look at three shares which I think would be great options for a $20,000 investment today.
Three that I believe could provide outsized returns are as follows:
Altium Limited (ASX: ALU)
When it comes to long term investments, I look for companies that have leading positions in markets which are expected to grow strongly in the future. It is for this reason that Altium ticks a lot of boxes for me. Altium is an award-winning design software company specialising in printed circuit boards (PCBs), which are found inside almost all electronic devices. It looks set to be a big winner from an Internet of Things market which is expected to grow from 23 billion devices in 2018 to a whopping 75 billion devices in 2025. I expect this to lead to increasing demand for its software, which should drive strong earnings growth over the long term.
LiveTiles Ltd (ASX: LVT)
LiveTiles is a digital workplace platform provider and certainly a higher risk option than the others. Its platform allows users to easily create dashboards, employee portals, and corporate intranets which can then be enhanced further through artificial intelligence and analytics features. Thanks to the quality of its platform, its strong ties with Microsoft, and the engagement of a dedicated sales force, LiveTiles has delivered more impressive growth in FY 2019. At the end of the third quarter its annualised recurring revenue (ARR) had reached $34.5 million. This puts it on course to achieve its target of ARR of $100 million by the end of June 2021.
WiseTech Global Ltd (ASX: WTC)
Another top tech share which I think could be a great long-term investment is WiseTech Global. Although its shares trade at a significant premium to the market average, I remain confident that the logistics solutions company is capable of delivering earnings growth that more than justifies this premium over the next decade. This is due to the quality of its CargoWise One platform and the way it has quickly established itself as an integral part of the global supply chain. CargoWise One is a single-platform software solution which provides an enterprise-class management system for logistics businesses across 130 countries. At the last count the company had over 8,000 logistics organisations using its solution. This includes 34 of the top 50 global third party logistics providers and 24 of the 25 largest global freight forwarders worldwide.
Where to invest $1,000 right now
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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 February 15th 2021
James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Altium and WiseTech Global. The Motley Fool Australia has no position in any of the stocks mentioned. 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.