5 Booming Investment Industries for 2016
No investment is perfectly safe, not even the low-risk ones that don’t yield much interest. When you choose a thriving industry to invest in, you still take the risk of inflating an existing bubble or suffering through a recession and plummeting stocks. However, many industries look like great investments in 2016. Steady growth, new popularity, and research breakthroughs all contribute to making these industries attractive investments for people who don’t mind taking a few risks.
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With fossil fuels dwindling and pollution remaining a problem, the energy field needs more renewable options desperately. The field is growing, and you can invest in renewable energy in many ways. According to Bloomberg, solar and wind technology are some of the best growth opportunities in renewable energy. New markets for renewable energy, like Chile and South Africa, are also smart spots to invest.
Billionaires have invested in health care for decades, and nothing about the formula is about to change. Health care is a growing industry driven by technology, the population, and innovations providing more treatments and cures for diseases than ever before. Billionaire Daryl Katz invested in the pharmaceutical branch of the health care industry for decades; if his recent $3 million Rexall deal doesn’t inspire you to invest in health care, nothing will.
The Legal Sector
Some venture capitalists are looking to legal start-up companies for their next big investments. Legal startups aren’t law firms. Instead, these are companies that offer a legal service, including legal technology that law firms might end up needing. Law firms, actually, are an uncertain spot to invest, while companies like Legal Zoom, which simplify certain legal processes, win more money. The industry is uncertain, but you can rest assured that people will always need legal assistance.
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Many major car companies offer at least one hybrid option. Car companies like Toyota and Honda are adding fuel-cell vehicles to their lineups, and are diversifying their hybrid and plug-in auto models. Investing in hybrid technology and plug-in vehicles is one option. Keep an eye on fuel-cell stocks and hydrogen companies. If hydrogen fill-up stations become more plentiful, the hydrogen car market could become a fantastic investment opportunity.
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The biotech industry is huge, so your investment options are plentiful. Though the biotech industry will continue to grow, be careful about how you invest in biotech. The sector has seen a few bubbles grow and burst, and the stocks didn’t begin 2016 very strong. Right now, the financial industry sees biotech as a high-risk investment. That being said, high-risk investments also have the biggest potential to make you lots of money. Don’t put all your eggs into this basket, but if you’re willing to be patient you can get a piece of the cash flowing from prospering medical technology.
Keep your portfolio diversified when investing in these industries, and stay updated on the latest industry news. Be sure to go after investment help from professional resources to find specific opportunities within these industries.