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If you are looking for more helpful articles, just like this one, check out our investing page and thoughtfully curated guides. You can open a brokerage account by completing a form from your chosen broker platform. Rising labor https://www.investec.com/ costs and the need for supply chain resilience have made automation a priority. According to McKinsey, automation could add $1.2 trillion to the global economy by 2030. Environmental, Social and Governance (ESG) considerations are now central to evaluating sector performance.

best investments right now

You probably want a mixture of different asset types to spread your risk and diversify. For most people, stocks, bonds, and property are likely to be the three main components of an asset allocation strategy to meet their financial goals. In fact, most people already have exposure to property as they own a house or may have a mixture of stocks and bonds in their pension. So, it’s useful to consider what you already have before deciding what to invest in next. Putting money into a savings account isn’t often considered to be a form of investment but rather just a safe place to park some cash.

Bonds Are Coming Back in 2024

• So, investors need iron-clad stomachs to handle the volatility here.
• Your knowledge of investing plays a key role in what you’re investing in.
• Market trends involve both cyclical patterns and long-term changes in the economy.
• So strong momentum behind the sector, 2025 could be a positive year for financial institutions.

Fortunately, investing in stocks and shares over shorter periods can still be a lucrative venture. Young investors, for example, may do well to look into dividend growers, which are companies with a strong track record of consecutively increasing their dividends. These companies may not have high yields currently, but if their dividend growth keeps up, they could in the future. Investors aiming for more attractive long-term returns are still looking at stocks.

OTS Taxi

Still, the Fed is signaling that rates will likely drop in the new year, which would definitely impact what investors of every ilk earn on their extra cash. Cash looked to be king in 2023, with sky-high interest rates across high-yield savings accounts and Treasury bills alike. But multiple bank failures—in domino-like succession, no less—spooked consumers and investors, leaving anyone with a bank account wondering whether their money would be safe. Young investors who can emotionally weather the market’s ups and downs could even consider investing their entire portfolio in stock funds in the early stages, Fernandez says.

Index funds

Our final type of investment is probably the most diverse, and some people might not even regard as an asset class. It covers things like paintings, wine, stamps, old comic books, and so on. Essentially, it’s anything that has value because it’s unique or there are limited numbers available.

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NerdWallet does not and cannot guarantee the accuracy or applicability of any information in regard to your individual circumstances. Examples are hypothetical, and we encourage you to https://personal.nedbank.co.za/ seek personalized advice from qualified professionals regarding specific investment issues. Our estimates are based on past market performance, and past performance is not a guarantee of future performance.

Time horizon

Bitcoin is a risky investment that has performed very well over time, though not without severe volatility along the way. So, investors need iron-clad stomachs to handle the volatility here. But it’s much safer and easier to invest as part of an ETF than through cryptocurrency exchanges. Whether it’s sasol shares mastering cutting-edge strategies, uncovering actionable investment opportunities from influential leaders, or breaking down complex topics, our in-depth journalism has you covered. Become a Forbes member and gain unlimited access to bold ideas shaking up industries, expert guides and practical investment advice that keeps you ahead of the market. Successful investing in specific sectors requires analyzing several factors that indicate sustainable growth potential.

Short-term Treasury ETFs are good for investors who need ready access to cash, since these funds can be sold any day the market is open. If rates fluctuate, the payout on these funds will also fluctuate. So these funds can be a good safe haven for investors and their holdings are backed by the U.S. government.