As the year draws to a close, many large and small investors are beginning to project what will happen after 1 January. In that sense, the global economy is showing good signs of recovery from the worst of the pandemic and there are many sectors that promise good returns. That is why in the following article we will discuss everything you need to know before making any moves.
Looking ahead to next year's investments and returns, many savers have been thinking for some time now about what will be best. The climate of recovery after more than a year and a half marked by caution and a cooling economy has resulted in a number of market opportunities to consider. Whether from traditional options such as investing in the Madrid Stock Exchange or modern alternatives such as cryptocurrencies, there are different elements to take into account. Here are a number of possibilities that can help you.
It is a great time to invest in property, as prices continue to be more affordable due to the effects of the crisis. As is well known, the real estate sector is one of the first to contract in times of recession, but it is also at the forefront when the winds change and boom times arrive.
In that sense, many properties are expected to appreciate in value in the short term, even more so with the possibility of increased market demand once the economic pace returns to normal. The thought of investing in property provides a safe moving backdrop, making it an alternative to consider for those who are highly or moderately risk averse.
Cultural and social trends
Also known as "megatrends", it is important to be aware of what is on people's and governments' agendas when deciding where to invest. For example, the renewable energy sector is one of the fastest growing sectors for the future, so starting early can be a great decision.
The same applies to other cultural changes, such as vegan food and products, as well as companies in the cannabis sector or services that help to recycle and reuse, with a clear focus on environmental protection.
Stock market investments
As we mentioned earlier in the case of the Madrid Stock Exchange, one recommendation for 2022 is to buy shares. By owning a small stake in a listed company, we are sort of minority owners, so it is important to analyse the latest trends.
This type of investment is ideal for those with low risk aversion, as it is after all a more than dynamic market and requires a certain talent in relation to reading the weather and market signals. To this end, one piece of advice that never fails is to build a diversified portfolio that can cover losses in the event of unforeseen events.
Finally, one cannot fail to mention one of the financial stars of recent years. After an uneven 2021, the winds seem to be strengthening in the case of Bitcoin and other digital currencies, with their projected returns picking up.
Looking ahead to 2022, and with an even more revitalised economy, this sector is expected to reach new all-time highs, making it a good time to enter one of today's most dynamic markets.