How I would construct a $50,000 growth portfolio

If you are looking to construct a portfolio, I think it’s important to build it with your goals and risk profile in mind.

This means that if you’re in your 20s or 30s, your portfolio is likely to look very different to someone that is approaching retirement.

On this occasion, I’m going to look at constructing a $50,000 growth-orientated portfolio which I believe could provide strong returns over the long term.

Here’s how I would build it:

Altium Limited (ASX: ALU)

I would invest $5,000 into this electronic design software company. Although FY 2020 has been a disappointment because of the pandemic, I believe its long term outlook remains extremely positive. This is because of the Internet of Things boom, which is expected to drive strong demand for its software over the next decade.

BetaShares NASDAQ 100 ETF (ASX: NDQ)

I think investors should consider the BetaShares NASDAQ 100 ETF as a core holding in this portfolio. This is because this ETF gives investors exposure to many of the biggest and arguably best companies in the world such as Amazon, Apple, Facebook, and Microsoft. I would allocate $20,000 to this ETF.

CSL Limited (ASX: CSL)

As the Nasdaq 100 ETF is tech-heavy, with approximately 47% of the fund weighted to the sector, I think balancing things out with some healthcare shares would be a good idea. And what better healthcare share to buy than this biotherapeutics giant. Due to its high quality therapies, expansive plasma collection network, and lucrative R&D pipeline, I believe it is well-placed for growth during the 2020s. I would invest $10,000 into CSL’s shares.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

I would invest $5,000 into Domino’s Pizza. I believe the pizza chain operator could provide strong returns for investors over the next decade. This is thanks to its store expansion plans, the popularity of its pizzas, and its same store sales targets. Combined, I expect Domino’s to deliver solid earnings growth over the long term.

Kogan.com Ltd (ASX: KGN)

I think Kogan is a great way to gain exposure to the retail sector. Especially now that more and more consumer spending is being made online. Due to its strong market position, popular website, and acquisition plans, I believe the ecommerce company can grow at a very strong rate over the next decade. I would invest $5,000 into its shares.

ResMed Inc. (ASX: RMD)

Another healthcare share to invest $5,000 into is ResMed. I believe the sleep treatment-focused medical device company can be a market beater over the next decade. This is thanks to the proliferation of sleep disorders and its industry-leading masks and software.

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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 Altium, BETANASDAQ ETF UNITS, CSL Ltd., and Kogan.com ltd. The Motley Fool Australia has recommended BETANASDAQ ETF UNITS, Domino’s Pizza Enterprises Limited, Kogan.com ltd, 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.

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