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This is how to turn $20,000 into $150,000 with ASX shares

I’m a big fan of buy and hold investing and believe it is one of the best ways for investors to grow their wealth.

To demonstrate how successful it can be, every so often I like to pick out a number of popular ASX shares to see how much a single $20,000 investment ten years ago would be worth today.

This time around I have picked out the three shares that are listed below:

The ResMed Inc. (ASX: RMD) share price has been on form this year thanks to another strong performance in FY 2019 and an impressive start to FY 2020. The growing popularity of this medical device company’s sleep treatment products has largely been behind this solid performance. The good news for shareholders is experts are tipping the sleep treatment market to grow strongly over the next decade. Which I think could mean another decade of outperformance. Over the last 10 years its shares have generated an average total return of 22.6% per annum. This would have turned a $20,000 investment into over $153,000.

The SEEK Limited (ASX: SEK) share price has been another strong performer over the last decade. This is due to the shift online for job listings and its leadership position in the ANZ region. Also supporting its growth has been its international operations, particularly in China. This has ultimately led to SEEK’s shares providing investors with an average total return of 15.8% per annum. This means that a $20,000 investment would be worth almost $87,000 today.

The Webjet Limited ASX: WEB) share price may be down significantly from its 52-week high but has still generated incredible returns over the last 10 years. The key drivers of this have been its leading brands, acquisitions, and the shift to online travel booking. Webjet’s shares have generated an average total return of 21.8% per annum over the period. This would have turned a $20,000 investment 10 years ago into just under $144,000.

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Motley Fool contributor James Mickleboro owns shares of SEEK Limited. The Motley Fool Australia has recommended ResMed Inc., SEEK Limited, 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.