Due to a number of positive tailwinds including increased chronic disease burden and ageing populations, I believe the healthcare sector is one of the best places to invest your money with a long term view.
And the good news is that there's no shortage of options in the space for investors to choose from.
With that in mind, here are three options in the sector to consider:
Alcidion Group Ltd (ASX: ALC)
If you're interested in small cap shares then you might want to take a look at Alcidion. It is a fast-growing health informatics company which is aiming to transform healthcare with smart, intuitive technology solutions. It has a growing portfolio of software products and services that support interoperability, allow communication and task management, and deliver clinical decision support at the point of care to improve patient outcomes.
CSL Limited (ASX: CSL)
And at the big end of the market you'll find this global biotherapeutics company. I believe CSL is the highest quality company Australia has to offer and capable of generating strong returns for investors over the long term. Especially given its leading therapies, lucrative plasma collection network, and its research and development pipeline. The latter is underpinned by high level of investment each year by the company. For example, in FY 2019 CSL invested a massive US$832 million in R&D activities across its businesses.
ResMed Inc. (ASX: RMD)
Finally, I think ResMed is another healthcare share to consider with a long term view. This medical device company has been growing at a very strong rate over the last few years thanks to its sleep treatment business. The proliferation of sleep apnoea has been driving very strong demand for both its hardware and its software. Given how many people globally are believed to be undiagnosed sufferers of sleep apnoea, I believe ResMed has a significant runway for growth. Though, with its third quarter update due to be released tomorrow, it might be prudent to wait for that before investing.
