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Why I would buy these ASX 50 blue chip shares for the long term

If you’re wanting to add some blue chip ASX shares to your portfolio, then you’re in luck.

The ASX 50 index is home to a good number of blue chips that I believe have the potential to generate strong returns for investors in FY 2021 and beyond.

Two blue chip ASX 50 shares that I would buy are listed below. Here’s why I like them:

Cochlear Limited (ASX: COH)

The first blue chip ASX 50 share to consider buying is Cochlear. I think the global leader in implantable hearing devices could be a fantastic long-term investment option. This is due to its exposure to the ageing populations tailwind. Because hearing tends to fade as people get older, I expect demand for hearing products to increase strongly over the next couple of decades.

And given the industry’s high barriers to entry and its material investment in research and development, I believe it well-placed to capture this growing demand. Overall, I suspect that this could lead to the Cochlear share price outperforming the ASX 50 over the next decade.

Goodman Group (ASX: GMG)

Another blue chip ASX 50 share to consider buying is Goodman Group. It is an integrated commercial and industrial property group that owns, develops, and manages industrial real estate in 17 countries. Among its portfolio you’ll find warehouses, large scale logistics facilities, and business and office parks.

The main attraction to the company for me are its warehouses and logistics facilities. I believe these have put Goodman Group in strong position for growth over the next decade thanks to their exposure to the structural tailwinds of the ecommerce market. These assets have long term relationships with the likes of Amazon, DHL, and Walmart. In respect to the former, last month the company strengthened its relationship with Amazon. The ecommerce giant signed a 20-year lease for a distribution centre in Western Sydney owned by its joint venture with Brickworks Limited (ASX: BKW).

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

*Returns as of June 30th

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Cochlear Ltd. The Motley Fool Australia has recommended Cochlear 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.

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