Are you planning to invest in equity and stocks this year? If yes, you must be informed and educated on the latest investment trends to embrace to make lucrative profits. It is hard to go in for predictions due to the coronavirus pandemic and the new variants that surface. However, experts in the field do see hope and regard some investment trends will be popular this year to help you invest wisely and make the money you want to see in the long run.
Kavan Choksi is an eminent entrepreneur known for his valuable skills in finance, business, and investments. According to him, if you are keen to invest in 2022, look out for the following trends-
- Sustainability– In recent years, sustainability has taken off quite well. Look out for renewable energy, environmental, social, and governance, green finance (like green bonds), and other trends dealing with sustainability. Such investment classes will be positive this year.
- NFTs or non-fungible tokens– They have dominated the investment scenario in the past year. They are changing the arena of collectibles and investments. The IPO market changed with their presence when they broke records with their total deals and the equity that was raised.
- Supply chain issues– Supply chain problems have dominated the market for a long time. In the USA, people have been questioning the national security implications and the wisdom of buying and manufacturing products on foreign waters for a long time. This is a good thing if you see it from the perspective of the nation. However, in the short run, you will find that the above can be bad for markets. In case the coronavirus pandemic ends, there is no full recovery for the supply chains to keep the stores filled. Omicron is not making the problem resolution easier, as there are chances that this coronavirus variant is here to stay for the rest of 2022.
- Computer chips– This market is going to impact the prices of stocks. In fact, this impact is not restricted to tech stocks, as every durable consumer product is most likely to have a chip inside them. The shortage will be an issue than the number of laptops available in the market. The parking lots in Detroit are crowded as the newly completed cars are waiting for the scare computer chip to get installed in them. Even if the pandemic ends soon, this problem will not be solved so easily. The supply chain issues have to be resolved. For instance, the DSP chips are in short supply now, and they are needed for audio equipment like TVs, cell phones, podcast mixers, and more.
According to Kavan Choksi, Intel claims that the shortage of computer chips will extend into 2023, so this makes sense for you to invest in chip-making stocks this year. They will be more stable than the other durable consumer products in the market. However, before you go in for your investments, consult a good financial advisor for the task.
