How I plan to lock in sustainable growth on the FTSE 100 in the coming years

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With global markets suffering under geopolitical risk, long-term FTSE 100 investors should prepare for more volatility. It could be years before normality returns, but that doesn’t mean all sectors will suffer equally.

For me, I see the most promise in sectors tied to long‑term global trends rather than short‑term headlines. That means energy and infrastructure, healthcare and finance. 

Here’s why I see value in these areas.

Tangible demand

Energy and infrastructure’s an obvious choice, with huge planned spending on net zero projects, power grids and energy security. Governments and companies cannot easily cut those budgets without risking trouble down the line. Think National Grid or a hydrogen play such as ITM Power.

Healthcare demand is clear: ageing populations and chronic health conditions mean it tends to grow even when markets take a dive. AstraZeneca is my first thought, while up-and-coming gene therapy specialist OXB could thrive here.

And financials remain the biggest chunk of the FTSE 100, with higher‑for‑longer interest rates still a support for many banks and insurers. Lloyds remains an ever-popular choice, but I also see lots of potential in OSB Group.

So how should investors strategise this environment?

Portfolio planning

For most people, a solid foundation’s a good starting point. Consider diverse UK equity funds or FTSE All‑Share trackers as core holdings. 

That provides broad sector exposure without having to identify winners in every area. Following that, lean into the sectors mentioned above, with the strongest long‑term potential.

Remember, macro shocks tend to hit most sectors at the same time. A serious 30%-35% market dip (like those used in official UK stress tests), would not spare ‘fashionable’ sectors.

Allocation, diversification and time horizon usually matter more than getting the perfect sector call. Sounds a bit too safe and boring? Well, that’s exactly what I’m going for.

One example

With the above in mind, I think now’s a good moment to look at the information analytics giant London Stock Exchange Group (LSE: LSEG). Aside from operating critical market infrastructure, it provides data and analytics used by investors, banks and asset managers around the world.

And with the shares down 19% in a year, investors could grab this high‑quality business at a cheaper entry price.

But competition from other data and index providers adds risk. Rapid advances in artificial intelligence (AI) and possible regulatory changes to how market data is priced or used could all squeeze future returns.

Core characteristics:

• A large share of recurring and subscription‑style revenues, which can smooth earnings through the cycle.
• Strong profitability and cash generation, helping to fund both investment and shareholder returns.
• Substantial buybacks: around £2.1bn returned in 2025, with a further £3bn authorised to run through early 2027.

In 2025, income rose 7.1% and adjusted EBITDA reached roughly £4.5bn, with margins just over 50% – high for such a large, established group.

The bottom line

For UK investors building a diversified portfolio with a long time horizon, a stock like LSE Group looks like a strong candidate to think about.

There is some risk and it currently trades on a slightly high valuation, but much of this is mitigated by a strong market dominance.

Long story short: it gives you exposure to growing demand for financial data and analytics, backed by resilient, recurring revenues, but without taking on the direct credit risks of a bank.

The post How I plan to lock in sustainable growth on the FTSE 100 in the coming years appeared first on The Motley Fool UK.

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Mark Hartley has positions in AstraZeneca Plc, Lloyds Banking Group Plc, National Grid Plc, OSB Group, and OXB. The Motley Fool UK has recommended AstraZeneca Plc, Itm Power Plc, Lloyds Banking Group Plc, London Stock Exchange Group Plc, and National Grid Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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