How to become rich by investing $1,000 into ASX shares

I believe that investing $1,000 into Altium Limited (ASX:ALU) and this ASX share could make you rich in the future….

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you can afford to invest $1,000 into the share market on a quarterly basis, then I think it would be well worth doing. Especially if you have a long investment time horizon.

This is because over the last 30 years, the Australian share market has generated an average total return of 9.2% per annum.

If the local share market were to do that over the next 30 years and you invested $1,000 every three months (and earned the same return), your investments would be worth a cool $626,000 at the end of the period.

And if you can beat the market over that time, your investments could be worth even more.

But which shares could be long term market beaters? Below are two ASX shares which I think could beat the market and may be top options for a $1,000 investment today:

Altium Limited (ASX: ALU)

I think this award-winning printed circuit board (PCB) design software provider could be a great ASX share to buy. Altium has been growing at a rapid rate over the last few years. This has been driven by the proliferation of electronic devices globally, which has led to increasing demand for its software. The good news is that with the Internet of Things and artificial intelligence markets still growing strongly and underpinning further electronic device growth, I think the future looks very bright for Altium.

IDP Education Ltd (ASX: IEL)

Another option to consider investing $1,000 into is IDP Education. It is a leading provider of international student placement services and English language testing services. I was very impressed with the way the company overcame the negative impacts of the pandemic to deliver strong profit growth in FY 2020. Looking ahead, I believe its market position is strengthening and expect it to come out of the crisis with a greater market share. Combined with its sizeable opportunity and growing software business, I believe its long term growth outlook is very positive.

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Altium. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Idp Education Pty Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Growth Shares

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
Growth Shares

3 unstoppable ASX shares to buy and hold for the next decade

These shares are going places over the remainder of the decade and beyond.

Read more »

Four piles of coins, each getting higher, with trees on them.
Growth Shares

2 high-growth ASX shares to buy today: brokers

These stocks have a strong growth outlook.

Read more »

Two university students in the library, one in a wheelchair, log in for the first time with the help of a lecturer.
Growth Shares

2 top-quality ASX shares to buy for beginner investors

These stocks could be a great place to start investing.

Read more »

A man in full American NFL playing kit crouches over with his arms across his chest in a defensive stance against a dark background.
Growth Shares

Here's why these two ASX 300 shares are great ones to own

These businesses are two of the fastest-growing stocks in the ASX 300 and are liked by fund manager WAM.

Read more »

A smiling businessman in the city looks at his phone and punches the air in celebration of good news.
Growth Shares

3 ASX growth shares you'll wish you bought in June

Analysts think these shares could be destined for big things in the future.

Read more »

Father and daughter with hands on a small plant.
ETFs

Focused on growth? Here are 3 ASX ETFs to consider

Growth investors must ignore the current market noise about tariffs and focus on the long-term horizon.

Read more »

A female broker in a red jacket whispers in the ear of a man who has a surprised look on his face as she explains which two ASX 200 shares should do well in today's volatile climate
Growth Shares

Top brokers name 3 top ASX growth shares to buy now

Why are brokers feeling bullish on these names? Let's find out.

Read more »

Two plants grow in jars filled with coins.
Growth Shares

3 ASX 200 growth stocks up more than 100% in 1 year that could charge higher

It's been a memorable year for shareholders of these 3 companies.

Read more »