At the weekend I wrote about how an investment of $20,000 in a number of popular ASX shares had fared over the last decade.
One of those shares was telco company TPG Telecom Ltd (ASX: TPM). Over the last 10 years its shares have averaged a total return of 32.2% per annum, which would have turned a $20,000 investment into a whopping $325,000.
But that was then and this is now. So where should you invest $20,000 with a long-term view today? Here are three top shares I would buy:
Nanosonics Ltd (ASX: NAN)
I think this leading infection control specialist could be a great buy and hold investment option. Nanosonics has been experiencing strong demand for its industry-leading trophon EPR disinfection system for ultrasound probes in recent years, leading to strong sales of both the product and the consumables that it uses. Given its large market opportunity, the quality of the product, its high levels of recurring revenue, and management's plan to launch new products targeting unmet needs, I believe it is well-positioned to continue its impressive growth for many years to come.
Nearmap Ltd (ASX: NEA)
Another share to consider investing that $20,000 into is this aerial imagery technology and location data company. Thanks to the increasing demand for its services in both Australia and North America, Nearmap has been growing its sales at a rapid rate over the last couple of years. The good news is that I believe Nearmap can continue its meteoric growth for a long time to come thanks to its massive market opportunity in the United States, the launch of several new products, and its potential expansion into new markets.
Xero Limited (ASX: XRO)
Xero is another company which I think would be a good place to invest $20,000 with a long term view. The provider of cloud-based business and accounting software has been growing at a very strong rate over the last few years thanks to its ever-increasing number of subscribers across the world. This has been driven by the quality and stickiness of its product, the shift to online accounting, strong pricing power, and its expansion into new markets. I'm confident there will be more of the same over the next decade.
