As the new decade approaches, I think it's worth reflecting on how the ASX (along with all share markets) change and evolve as the years go by. If you go back 10 years, CSL Limited (ASX: CSL) was still a shadow of its current size, Telstra Corporation Ltd (ASX: TLS) was a dividend-spewing behemoth and WAAAX exclusively referred to an ingredient one might make a candle with.
On a more global level, the idea that the likes of Facebook, Alphabet (Google) and Amazon.com – even Apple – would be amongst the biggest companies in the world seemed far-fetched back in 2009.
And yet we now live in a 'new', seemingly unremarkable, normal. Who knows what the 'newer' normal will be in December 2029. We can only imagine…
That's why with investing, it's always better to look forward than backward (like most things in life).
For my own investing, I'm very interested in both companies that are changing the world as we know it, as well as companies that are positioned in tailwind industries. One is obviously riskier than the other, so I like to adjust for this accordingly.
My 2020 watchlist
For instance, I love Afterpay Ltd (ASX: APT) and want it in my 2020 portfolio. It's a true disruptor as well as a feel-good Aussie homegrown success story, for sure. But what's really grabbed my attention is its durability and branding power, which has enabled it to stay on top of the raft of competition that is snapping at its heels.
Similarly, our healthcare needs are on an iron-clad, inevitable march upwards. That's why I would be very happy to have companies like Resmed Inc (ASX: RMD), CSL or Ramsay Health Care Limited (ASX: RHC) join my portfolio in 2020.
I'm still confident the world is going to need materials like iron, steel and copper too – so I would be happy to add some BHP Group Ltd (ASX: BHP), Rio Tinto Limited (ASX: RIO) or even South32 Ltd (ASX: S32) if the right price were to come along. Mining is one industry that I'm going to boldly predict will be immune from disruption over the next decade.
Foolish takeaway
When it comes to looking forward for your own ASX portfolio, I think a nice balance between disruptors like Afterpay and predictable, stable growth companies like CSL is a great way to go. These are the kind of businesses I'll be watching next year, and over the next decade.
I might also play 'the price is right' with BHP too.
