With interest rates at record lows and unlikely to improve any time soon, if I had a spare $15,000 sitting in a bank account I would invest it in the share market today with a long-term view.
After all, data provided by Fidelity Australia reveals that the local share market has provided an average annual return of 9.1% during the last 30 years. This means that a $15,000 investment 30 years ago would be worth a whopping $200,000 today.
Whilst the same level of return is by no means guaranteed over the next 30 years, I feel reasonably confident that the market will deliver similar results.
In light of this I would take that $15,000 and invest it evenly across these three shares:
CSL Limited (ASX: CSL)
I believe this fast-growing biotherapeutics company is one of the best buy and hold investment options on the market today. In the last decade CSL has grown its earnings by an average of 14.1% per annum. Thanks to its lucrative immunoglobulins business and its fledgling Seqirus influenza vaccine business, I expect the company to deliver a similar level of growth for the foreseeable future. Although its shares are a little on the expensive side, I believe they will prove to be worth every cent.
InvoCare Limited (ASX: IVC)
With a 33% market share, InvoCare is the largest operator of funerals and cemetery services in Australia. Due to Australia's ageing population, I believe its market-leading position puts the company in the driving seat to deliver solid and predictable earnings and dividend growth for at least the next decade. As a result, I think it is hard to argue against it being a strong candidate for a buy and hold investment today.
Mayne Pharma Group Ltd (ASX: MYX)
This fast-growing pharmaceutical company has seen its shares come under significant selling pressure in the last few months due to allegations of price fixing and concerns over the impact President Trump will have on the pharmaceutical industry. I think this has left its shares trading at a great price for patient buy and hold investors. Especially considering the company has a lucrative pipeline of generic drugs that combined have the potential to be worth several billion dollars in sales each year.
