Creating an ASX portfolio purely with growth shares can be a high-risk strategy. But due to the very nature of a good ASX growth share, it can also be a highly lucrative path to tread, if you have the stomach for it. ASX growth shares can often outperform the broader S&P/ASX 200 Index (ASX: XJO) during a bull run. But equally, this strategy can lead to underperformance in a bear market. Riding out these extremes is the key to successful long-term growth investing. So here's how I would construct such a portfolio:
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Start with $25,000 in growth share Openpay Group Ltd (ASX: OPY)
Openpay is a newer addition to the ranks of the ASX payments and buy now, pay later (BNPL) companies. It operates in a similar manner to the platforms offered by Afterpay Ltd (ASX: APT) and Zip Co Ltd (ASX: Z1P). But rather than focusing on 'small' purchases, Openpay instead targets the larger transactions of life – things like hardware, automotive and medical expenses. As such, I think this company is well poised to exploit an underserved niche of the BNPL market and deserves a slot in our $100k growth portfolio.
Back it up with $25,000 in BetaShares Global Cybersecurity ETF (ASX: HACK)
This exchange-traded fund (ETF) solely invests in what I consider to be one of the ultimate growth areas of the 21st century. With revelations just this week that Twitter has been embarrassingly hacked by scammers, I think the importance of cybersecurity has never been more important and is one of the most fertile grounds for future growth. Thus, I think it's a great area for an across-the-board investment which the HACK ETF can provide. Some of the shares that this ETF holds include Okta, Cisco and Broadcom.
Add $25,000 of Nanosonics Ltd (ASX: NAN) shares
Nanosonics is one of the most promising healthcare shares on the ASX, in my view. The company's Trophon and Trophon 2 devices provide cutting edge sterilisation techniques that medical professionals can use for disinfecting equipment. Nanosonics' shares have almost doubled over the past 2 years. But, with the rave reviews its devices are attracting from the medical community, I still think this company has a lot of potential growth ahead of it. As such, it's a top growth share that deserves a place in our $100,000 ASX portfolio.
Finish off with $25,000 in the BetaShares S&P/ASX Australian Technology ETF (ASX: ATEC)
This is another ETF and one of the newest funds to hit the ASX boards at that. Even so, I find this fund very exciting. It's the first of its kind in tracking the S&P/ASX All Technologies Index (INDEXASX: XTX), which houses the most notable ASX shares in the tech space. Afterpay dominates this fund's holdings with a current weighting of 17.1%. But you'll also find Xero Limited (ASX: XRO), as well as Seek Limited (ASX: SEK), Computershare Limited (ASX: CPU) and Altium Limited (ASX: ALU) as well. If you're bullish on the future of Aussie tech, then you'll agree that this ETF has a well-deserved place in our $100,000 growth portfolio.
Foolish takeaway
ASX growth shares can be emotionally taxing investments to hold, but can also offer outsized returns. I think the shares named above offer such outperformance over the medium to long term, and, as such, I would be very happy to add any of them to my ASX portfolio today.
