Last week the Reserve Bank of Australia held the cash rate at the record low of 1.5%. With rates at these low levels, I think investors are better off skipping high interest savings accounts and investing in the share market.
Here's where I would invest $15,000 today:
The Domino's Pizza Enterprises Ltd. (ASX: DMP) share price is currently around 30% lower than its 52-week high. I think this is a rare opportunity for investors to grab a slice of this explosive company at a reasonable price. Whilst there have been concerns over the underpayment of wages by franchisees, I think the issue has been overblown. With the company still growing strongly at home and overseas, I think Domino's is a great buy and hold option.
The Noni B Limited (ASX: NBL) share price may be up 51% in the last 12 months, but I don't think it is too late to snap up this retailer's shares. As well as the Noni B brand, the company recently bolstered its retail presence with the acquisition of Pretty Girl. Not only did this strengthen its offering in the lucrative middle-aged woman market, but the acquisition helped Noni B deliver a 142% jump in half-year revenue to $143 million and a 149% increase in underlying pre-tax profit to $10.1 million. This good form means the company will be included in the ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) from March 20.
The TPG Telecom Ltd (ASX: TPM) share price has fallen an incredible 45% in the last six months. This has left its shares changing hands at just over 16x trailing earnings, which I think makes the telco giant a bargain buy. Whilst NBN margins may not be as generous as expected, TPG Telecom certainly has other opportunities which could offset this. The roll out of its own fibre service in certain areas and the expansion of its mobile service could all provide the company with a long runway for growth.
