2019 is approaching fast for investors across all sectors. The stock market has seen a rise in volatility with relatively few safe places for cautious investors to hide. Even sectors that were booming last year, such as telecommunications, healthcare, and real estate saw losses in the first half of the year. As investors attempt to protect themselves from market volatility, they have explored novel areas of investment with mixed results. Below are four trends that have seen increased investment this year.
While extreme volatility made the headlines in early 2018, cryptocurrencies such as Bitcoin, Ethereum, and Litecoin have seen an increased investor base as the blockchain technology they are based on has begun to mature.
While these coins and technology have tumbled form the record highs they saw early in the year, savvy investors are still betting that this technology is going to find more utilization in coming years. The age of the bitcoin millionaire may be over, but investors still stand to see gains as they technology matures.
Marijuana Cultivation and Culture
As more and more states pass laws that legalize the recreational and medicinal use of cannabis, investors from all over the states are pouring cash into this emerging market. Startup technology companies such as Mass roots have capitalized on this sector and allowed for investors to participate in the trend without directly buying into cultivation operations.
Over half of the country no wallows for the medicinal or recreational use of cannabis. As each state solidifies its process for permitting and distribution, there is ample room for investors to get in on the ground floor of an enormously profitable industry.
The impacts of climate change are highlighting the need for renewable energy sources, and investors have been quick to support companies that are poised to offer environmentally conscious solutions to the problem of energy generation.
Electric vehicle manufacturers such as Tesla have paved the way for new companies to take advantage of massive improvement in battery technology. Electric motorbikes are generating interest as cities attempt to address their pollution woes, especially abroad. Solar panel and alternative power companies are also areas where investors can get a foot in the door of a new market/technology.
Artificial Intelligence (AI)has been making waves in the technology sector for some time, but 2018 has seen a remarkable increase of practical application of this tech into consumer’s lives. There are myriad avenues by which an investor can choose to support this increasingly important aspect of modern technology.
Hardware companies such as Nvidia produce the processors and microchips necessary for the technology to run. Alphabet has been using AI to solve a number of pressing problems, and the results can be seen in many of Google’s products. Uber, tesla, and other vehicle manufactures are betting big on this technology to help them achieve their goals of autonomous vehicles
Whether or not all these technologies and sectors will continue to be profitable remains to be seen. But any investor worth their salt is going to keep an eye on these areas as the potential for growth is so high.