If you have $1,000 sitting in a bank account and no immediate use for it, I would suggest you consider putting it to work in the share market.
After all, the potential returns on offer in the share market are vastly superior to the interest rates being offered by the big four banks right now.
Three top ASX shares that I would buy with these funds are listed below. Here's why I like them:
a2 Milk Company Ltd (ASX: A2M)
This New Zealand-based fresh milk and infant formula company could be a great place to invest $1,000. I'm a big fan of the company due to its ongoing expansion in North America and the increasing demand for its infant formula products in the China market. The latter has been a key driver of growth in FY 2020 and looks set to underpin a very strong full year result in August. The good news is that I believe there's still plenty more growth to come thanks to its relatively small market share in China and differentiated brand. It also has the opportunity to accelerate its growth through acquisitions thanks to its sizeable cash balance.
CSL Limited (ASX: CSL)
I think this biotherapeutics giant would be a great place to invest $1,000. I believe CSL is one of the highest quality companies Australia has produced and well-placed for long term growth. It is made up of two businesses – CSL Behring and Seqirus. CSL Behring is the global leader in plasma therapies and Seqirus is the second biggest in the influenza vaccines industry. I believe both businesses have strong long-term growth potential due to favourable industry dynamics, their leading products, and burgeoning research and development pipelines. And with the CSL share price down over 18% from its high, now could be an opportune time to invest.
Jumbo Interactive (ASX: JIN)
Another ASX share to consider buying with that $1,000 is online lottery ticket seller Jumbo. It is best-known as the operator of the Oz Lotteries website. It has been benefiting greatly from the shift to online gambling in the Australian market and looks well placed to capitalise on the same trend internationally. Jumbo is targeting $1 billion in ticket sales through its platform by FY 2022. This will be triple what it achieved in FY 2019. While this is an ambitious target, I think it could achieve it thanks to its Powered by Jumbo Software as a Service (SaaS) offering.