These ASX shares could be great additions to a retirement portfolio

Here's why I think Ramsay Health Care Limited (ASX:RHC) and this ASX share should be in your retirement portfolio…

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If you're currently in the process of constructing a retirement portfolio, then you might want to take a look at the ASX shares listed below.

I believe they are great options for investors looking for a combination of growth and income over the next decade. They are as follows:

Collins Foods Ltd (ASX: CKF)

The first option to consider buying for your retirement portfolio is Collins Foods. It is one of the largest quick service restaurant operators in the ANZ region with a massive 240 KFC stores in Australia and 40 KFC stores in Europe. It also operates 12 Taco Bells across Queensland and Victoria, as well as 75 franchised Sizzler restaurants around Asia.

Although it has a very large KFC footprint in the ANZ market, management still sees plenty of room for growth. This is also the case in Europe, where the brand has yet to fully penetrate the market. Combined with expansion opportunities for the Taco Bell brand, I believe Collins Foods is capable of delivering solid earnings and dividend growth for a long time to come. 

This was certainly the case in FY 2020, despite the pandemic. Last month the company released its full year results and revealed an 8.9% increase in revenue to $981.7 million and a 5.1% lift in underlying net profit after tax to $47.3 million.

Ramsay Health Care Limited (ASX: RHC)

I think Ramsay Health Care would be a good option for a retirement portfolio. Although its growth over the short term is likely to be challenging because of lower elective surgeries and other headwinds caused by the pandemic, I expect it to bounce back once the crisis passes. Looking further ahead, I believe Ramsay has a very positive outlook.

This is due to its world class network of private hospitals and their exposure to the growing demand for healthcare services globally. Combined with potential earnings accretive acquisitions in the future, I believe Ramsay shares can deliver strong total returns for investors over the long term.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Collins Foods Limited and Ramsay Health Care Limited. 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.

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