At the weekend I looked at how successful investments in certain S&P/ASX 200 Index (ASX: XJO) shares had been over the last 10 years.
But that was then, what about now? If you're lucky enough to be in a position to invest $20,000 into the share market this month, then I would suggest you consider one of the three shares listed below.
I believe all three are well-placed to deliver strong returns for investors over the next decade. Here's why:
Kogan.com Ltd (ASX: KGN)
The first option to consider for that $20,000 investment is Kogan. It is a growing ecommerce company and the Australian equivalent of U.S. behemoth Amazon. I think it could be a market beater over the next decade thanks to the continued shift to online shopping in the country. At present roughly 10% of consumer spending is made online in Australia. I expect this percentage to increase notably over the next decade and for Kogan to capture a growing slice of this spending.
Nanosonics Ltd (ASX: NAN)
This infection prevention company could be a great option for these funds. It is the company behind the trophon EPR disinfection system for ultrasound probes. This system plays a key role in limiting hospital acquired infections (HAIs) which not only put lives at risk, but can be very costly for healthcare organisations. The system is regarded as the best in its class and has unsurprisingly been growing its installed base at a rapid rate over the last few years. Pleasingly, with a global installed base of ~22,500 units, it is still only a fraction of its 80,000-unit addressable market. I expect further market share gains and the launch of a series of secretive new products with similar market opportunities to lead to strong earnings growth over the next decade.
REA Group Limited (ASX: REA)
A final option for that $20,000 investment could be property listings company REA Group. The impact of social distancing measures and financial uncertainty are likely to weigh heavily on the housing market and listing volumes in the near term, but I'm confident its long term outlook remains as positive as ever. Especially given its market leading position in Australia and its growing international operations. All in all, I think it would be worth taking advantage of its recent share price weakness and making a patient long term investment.
