Here Are a Number of Investment Areas to Watch Out and Places to Avoid
Knowing where to invest your funds this year looks like a tough decision for many investors. Stock markets have been dipping and surging, oil prices have fallen while Europe is trying to deal with a looming crisis across a number of countries while quantitative easing, political tensions and national elections are all in the cards this year. For those who want to make sure 2015 ends up well by investing in the right place, there are countries, sectors, funds and stocks that experts believe you should put your finances into.
Countries to invest in
It is expected that investors will approach Europe carefully since the continent is already drifting towards recessions and deflation is already a reality. It is also a region where experts believe there are forgotten markets, such as the weak euro giving investors a chance to invest and see their investments soaring. With a weak euro, it means the sterling pound will be buying more investment and more in terms of holidays. Europe, Asia, USA, Africa and other emerging markets are major markets worth looking into.
Latin America and Brazil might not have a crisis but most analysts do not see them being very positive. While Asia might have had some trying moments, India has been enjoying a good run. Investing in Brazil and Latin America is mostly not being seen as lucrative currently because of a stronger dollar, which is not great news and some politics that do not do well with most investments amidst weakened product prices.
Some sectors are worth investing in
Of all the sectors worth investing in this year, insurance companies are at the top of the list. This includes the non-life insurance areas such as pet and liability insurance, health, accident, property and motor insurance. This is
expected to do well due to the enhanced yields in the short term even as the Federal Reserve of the United States looks like it will be raising the interest rates later in the year. At the same time, the motor insurance in the UK seems to have stabilised with the sector also benefitting a lot from acquisitions and mergers.
Backing property in 2015
Lots of investors are thinking 2015 is the year of property investment. However, not many are expecting the same returns as 2014’s but believe the property sector cannot disappoint. An expected modest return of between 6 and 8 percent should be a good reason to try out property investment as the New Year gets down to business.
It might also be the year to avoid government bonds in Europe since German and Swiss bonds are already giving a-not-so-impressive yield currently. It might not be a good idea to lend without expecting to get much out of your investment.
Another area worth investing is in Telecom, since the main growth for the sector is largely the huge number of new customers buying entire service packages. It is also one of those stocks that seem like one can take some form of a risk, especially because the sector still offers investors a very lucrative entry point.