The new year always brings fresh hope and optimism. Investors have a lot to be enthusiastic about heading into 2020.
Driven by an announced trade deal between China and the U.S., the stock market remains at record highs. While there is a reason to be cautious, this tentative agreement marks yet another positive in an already rewarding year for stakeholders.
Investors are positioned to capitalize once again. As this trend endures, these three sectors are primed for even bigger gains in 2020.
Move money overseas
For the first time in years, investors are thinking international.
Over the last decade, U.S. equities have vastly outpaced their international counterparts. However, many experts predict a change is on its way.
Valuation is the driving force behind this movement. Global economic growth has sputtered when compared to that of the U.S. As developing economies begin to bounce back, this presents an opportunity to jump in at a much lower starting point.
Emerging markets will be a reoccurring theme in 2020. Especially, the focus will be on consumers. Most of the world’s population is aging while emerging markets offer untapped access to an overall younger generation of people. Determining what this demographic’s lifestyle needs and purchasing habits will be going forward is critical for investors.
Grow greener returns
Socially-conscious investors can look to do some good while growing their portfolios.
Sustainable initiatives are increasingly attractive investments. Environment, social and governance (ESG) investing has never been more popular. This strategy shifts beyond a company’s bottom line, taking stock in how these entities impact the world around them.
This is no longer a “niche” market. It is now mainstream. Even big-time firms are buying in. Goldman Sachs recently announced a major financial commitment to global climate change, health care accessibility, affordable education, and other sustainable growth themes.
Because of events like these, awareness from the public is at an all-time high. As awareness builds, so will innovation. This movement will keep pushing investment further.
You could always bury bricks of gold in your backyard. But, there are much easier ways to invest in precious metals.
There’s always some degree of uncertainty with any investment. But, gemstones and precious metals, like gold, are always strong buys. Consumer demand and retail popularity remain consistently high over time. But, most importantly, precious metals are near recession-proof. Even when the economy is crumbling, these materials retain value. This is why investing in this sector has withstood the test of time.
Sound investing also always requires research. But, this is even more crucial when dealing with precious metals and gemstones. Common resources, like rubies, emeralds or even gold, are easily identifiable. However, discerning the difference in quality and profitability requires a more experienced evaluation.
Before mining this sector, it’s imperative to hire a professional. A gemologist can assist in finding quality pieces and help negotiate prices. When investing in gold, consulting firms, like Rosland Capital Gold Company, offer prompt delivery of materials, personal service and an experienced advisor to help mitigate any risk.
Because of these benefits and extra layers of protection, expect gemstone and gold investing to continue to shine in 2020.