If you only have a modest amount of money to invest in the share market, don’t worry. This is because even an investment of $1,000 has the potential to grow materially over the long-term.
Over the last 30 years the Australian share market has provided investors with an average total return of ~9.5% per annum. This means that if you’d invested $1,000 per year in the share market and earned the market return, your investments would be worth almost $165,000 today.
I believe this demonstrates why investing even a small amount each year can still be very rewarding. With that in mind, here are three shares which I think would be great options for a $1,000 investment in 2020.
Afterpay Ltd (ASX: APT)
Whilst there are regulatory risks to consider, I feel confident the rewards on offer make up for this and make Afterpay a compelling investment option. It has continued to smash expectations in 2019 with incredible underlying sales and customer growth. I feel confident this will continue in 2020 thanks to the increasing popularity of its platform with consumers and retailers globally. A potential launch into continental Europe could also be a major boost to its growth.
Bigtincan Holdings Ltd (ASX: BTH)
At the small side of the market there is Bigtincan. It is a provider of enterprise mobility software to a growing number of blue chip companies. This includes companies such as Australia and New Zealand Banking Group (ASX: ANZ), Nike, and Sephora. Its software allows sales and service organisations to increase their sales win rates, reduce expenditures, and improve customer satisfaction through improved mobile worker productivity.
ResMed Inc. (ASX: RMD)
A final option for that $1,000 investment is ResMed. I think its shares could provide investors with market-beating returns over the next decade. This is thanks to its industry-leading sleep treatment products and the proliferation of sleep apnoea. Management estimates that there are ~1 billion people impacted by sleep apnoea worldwide.
The post Where to invest $1,000 into ASX shares in 2020 appeared first on Motley Fool Australia.
And here are five more shares that have recently been given buy ratings and tipped for strong long-term gains.
Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.
One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…
Another is a diversified conglomerate trading near a 52-week low all while offering a 2.8% fully franked yield...
Plus 3 more cheap bets that could position you to profit over the next 12 months!
See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.
- Man bets $221,666 on one ASX stock
- Top analysts name their top 3 ASX blue chip shares for 2019
- 3 quality dividend shares to boost your income
- NEW: Free report names top 3 ASX dividend shares to buy for 2019
- 5 Stocks for Potentially Building Wealth After 50
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 AFTERPAY T FPO and BIGTINCAN FPO. The Motley Fool Australia has recommended BIGTINCAN FPO and ResMed Inc. 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.
The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2019