A brand new year is right around the corner. This could definitely be a great year for investors. This year had its ups and downs. While corporate profits were rising high, political issues like Brexit and the U.S. presidential election did take its toll on the stock market. 2016 saw the worst of these politically sensitive topics. So these issues will only be a mellow effect in the upcoming year.
However, it can be said that investors may not be able to invest in 2017 the same as in 2016. Brexit is still ongoing as Britain has yet to formalize an exit from the European Union. So, pound stocks will remain uncertain at least until 2019. In the U.S., no one can yet be sure what Donald Trump’s election could mean to the economy. The President Elect has promised to boost infrastructure spending, and has taken jabs at companies that outsource.
Still, there are different investing options like buying gold in 2017 available for people who want their money in largely stable ventures. There’s also a wild range of passive income ideas you can find through this guide on Bengu.
Here are several of these options to consider:
Real Estate
The housing market is bouncing back from the 2008 crash. In many parts across the U.S., property prices are at new highs. Prices are skyrocketing in places like Dallas and Chicago thanks to Chinese investment. By and large, it’s a good time to invest in property. Rather than flipping property for a profit, the following year might be an excellent year to develop real estate. As the incoming president himself is a real estate developer, the sector can probably look towards a rosy future.
Construction
In the coming years, there will be a large number of government-led infrastructure projects. This is partly due to Trump’s promise to invest in infrastructure. On the other hand, it’s no secret that America’s bridges and dams are ageing. The government must rightfully repair, restore and develop new infrastructure in the ageing cities. This means big money in construction. If you own a construction company, get ready to get involved in huge projects. Construction company stock will also see a rise at least during the second half of 2017.
Prominent Social Media Stock
The future of tech stocks doesn’t look too bright, which was unthinkable about six months ago. But the political landscape has astonishingly shifted to the right in the U.S., and is slowly shifting to the right in Europe. Rightwing politics could very well threaten the current economic order dominated by free trade and indiscriminate immigration that benefit the tech industry. For example, Trump has publicly taken an anti-China stance, which could spell disaster for tech companies like Apple that depend on Chinese labor. While most tech companies may experience a blow to rapid growth, social media companies like Facebook are still growing promisingly. Facebook dominates the current social media sphere and will continue to dominate the field in the coming year. On the other hand, companies like Twitter are floundering. If you want to invest in tech stock, the coming year is ideal to invest in stock of Facebook, Instagram, Snapchat and LinkedIn.
Gold Bullion
If we learned anything in 2016, it’s that politics are messy and therefore can have a messy effect on the economy. It’s impossible to say what could go down in 2017 considering the current contentious political landscape. Smart investors should expect the unexpected and hedge their investment portfolios against massive losses which can be incurred by another event like Brexit. The best way to do this is direct ownership of gold coin or bullion. Gold is the choice asset to protect wealth in times of crises, especially during the political upheavals 2017 will most likely bring.
It’s best to invest in real estate or stock, and also at the same time invest in gold to diversify and protect your portfolio.
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