Over the last 12 months the S&P/ASX 200 Information Technology index has provided investors with a return of 25.7% despite the pandemic.
This compares very favourably to a disappointing 10% decline by the S&P/ASX 200 Index (ASX: XJO) over the same period.
The good news is that I'm confident this outperformance can continue over the coming years. As a result, I think it would be a good idea to have decent exposure to the tech sector.
But which ASX tech shares should you buy? Three of my favourites are listed below:
Altium Limited (ASX: ALU)
The first ASX tech share to buy is Altium. It is an award-winning printed circuit board (PCB) design software provider. I think it is a strong buy due to its leadership position in a market exposed to the Internet of Things boom. I expect the proliferation of electronic devices to lead to increasing demand for its software over the next decade.
Appen Ltd (ASX: APX)
Another ASX tech share to buy is Appen. Its million-plus team of crowd sourced experts prepare the data that goes into the artificial intelligence and machine learning models of some of the biggest tech companies in the world. Given how these markets are expected to grow materially in the future, Appen looks well-placed to profit.
Megaport Ltd (ASX: MP1)
Finally, I think Megaport is an ASX tech share to buy. It is an elasticity connectivity and network services company. Its service allows users to increase and decrease their available bandwidth in response to their own demand requirements. This means users don't need to be tied to a fixed service level on long-term and expensive contracts. Demand for its service has been growing very strongly thanks to the accelerating shift to the cloud, leading to stellar recurring revenue growth.
