At the weekend I looked at how $20,000 investments fared in a number of popular ASX shares over the last 10 years. You can read about their impressive returns here.
But that was then and this is now. Which shares should you invest $20,000 into today?
I have picked out two ASX shares that I think could be great places to invest these funds:
Appen Ltd (ASX: APX)
The first ASX share to consider investing $20,000 into is Appen. It is the leading developer of high-quality, human annotated datasets for machine learning and artificial intelligence (AI). Through its million-strong crowd-sourced team of experts, it prepares the data for the models of some of the world's biggest tech companies. This includes the likes of Amazon, Apple, Microsoft, and Facebook.
Pleasingly, demand for AI services is expected to grow strongly over the next decade as companies invest heavily in the space. I believe this bodes well for Appen and expect it to underpin strong earnings growth over the next decade and beyond. In light of this, I believe the Appen share price could be a market beater over the next decade.
CSL Limited (ASX: CSL)
I think this biotherapeutics giant CSL would be a great option for a long term $20,000 investment. This is due to its very positive outlook thanks to its high quality CSL Behring and Seqirus businesses. I believe these businesses are well-placed to underpin consistently solid sales and earnings growth over the 2020s.
This is thanks to their leading products and extremely lucrative research and development (R&D) pipelines. In respect to the latter, in FY 2020 CSL invested a massive US$922 million into its R&D activities. This was an increase on US$832 million a year earlier and in line with its normal investment of ~10% to 11% of revenue. I believe these investments will allow the company to maintain its market-leading position for a long time to come. As a result, I expect the CSL share price to continue its positive run for the foreseeable future.
