Fear is among the most compelling human motivators, and sometimes it is appropriate. Often in investing, it is not. Fear of the next recession, underperforming, missing the boat, sustainability issues—the list of fear factors seems endless. Is fear the best investment advisor? How can investors counter fear and achieve their goals of investing in the right vehicles at the right time and accurately determining the right time to sell?
The push to transition from fossil fuels to renewables for power generation has been motivated largely by environmental concerns. But today, dollars and cents are increasingly supporting the transformation drive, as renewable-energy sources become much more cost-effective, even outmatching fossil fuels in value per dollar. Forecasts predict that new power generation through renewables—especially solar, wind, hydroelectric—will soon outstrip fossil fuels, attracting growing interest from governments, banks and investors.
5G digital cellular network technology is one step up from 4G and LTE, so what’s the big deal? A lot, apparently, as 5G promises to deliver speeds 200 times greater than LTE. For the investor, when considering any potentially ground-breaking technology, the question remains, “When to jump in?” The answer may depend on whether he/she seeks short- or long-term gains. As a long-term bet, anyway, 5G looks like a shoo-in.
There are times when no one wants to see history repeat itself, and that’s the case among today’s investors in technology stocks. Some fear that the dot-com bubble burst of 2000 may repeat itself 20 years later. Although some tech stocks may be overvalued, the flourishing Fourth Industrial Revolution displays no signs of running out of steam any time soon. Caution is advised but not panic.
Many commodities have watched their prices drop, but iron ore is one exception; its price has surged to levels not seen since 2014. The price of iron ore, the main ingredient of steel, is being propelled upward by the combination of growing shortage and intensifying demand. Devastating circumstances affecting the world’s top producers, Brazil and Australia, along with booming demand in China are mainly to blame for the supply shortfall.
Alternative is a broad term, taking in whatever is different from the conventional. In investments, that means anything that isn’t stocks, bonds or cash. It’s a large playing field that is attracting an increasing number of investors, including some of the wealthiest in the world. Returns can be high, but so can risks; what are some of these diverse investment opportunities and of what should the shrewd investor be cautious?
Few commodities have experienced more pronounced volatility over the last few years than cobalt. This versatile, ferromagnetic metal has been increasingly sought after in recent times, thanks in no small part to its use in lithium-ion batteries
The wealth-management industry is in the midst of some seismic changes at present. The traditional channels through which money has been managed and advice dispensed are now being decisively disrupted. And as a result, those who are being affected the most—from multi-billion-dollar hedge funds to retail investors managing their own portfolios—are now operating in an almost entirely new landscape.
Robotics has long been touted as the next big wave that will boost efficiency, increase customer satisfaction and, most importantly, slash costs and maximize profits. Robo-advisors are now entrenched in the investment industry, but most of these firms are not experiencing all of the benefits of automation; in fact, many of them are losing money. What are the main factors cheating robo-advisors of profitability?
The oil price affects all of us, so its movements are a popular target of speculation. So far in 2019, the oil price has been tracking upward, and oil-market watchers are asking themselves if it could hit $100 per barrel soon. The definitive answer remains elusive, as the multiple and at times conflicting elements that determine the price of oil are in a word: complicated. Stay tuned as OPEC meets in June.