Managing your money this New Year is going to be an important responsibility. You need to look at investment opportunities unemotionally, and this will help you make the right decisions. Just because investors are rushing to a particular company, doesn’t mean you have to do the same. Be smart, be decisive and watch your investments bear fruit.
Investing in Japan and Technology…
Geographically speaking, Japan has underperformed for quite some time now. However, portfolio managers are saying that 2013 is going to be very different. The signs have been around since last year. The country’s stock market rallied 23% in 2012. This is twice the profit that was seen in U.S stocks. Japan is looking at an economic turnaround this year.
Investing in technology shares still remains a good idea. This is a growing industry and the quality of competition is quite high, as well. Think about investing in a few startups or innovative technological ideas.
This is an interesting option and something you should take some time mulling over. While metals and energy have a stronger appeal, agriculture can spell success for some, considering the global demographics. A smart investor will consider his/her options and pick a growing area to pour in funds.
High returns from stocks:
Even though global GDP is progressing at a sluggish rate, revenue growth will continue to expand. This means that equity returns will also increase. U.S equities are enjoying a sunny period with about 2% in revenue yield and 3% in share-buyback yield. Financial experts predict that this trend will continue to grow as 2013 picks up pace.
Buying Euro-Zone Debt:
This is tricky terrain and you need to invest with a lot of care. The Euro-Zone has finally started to mitigate the financial pressure that it has been facing for the past three years. The latter half of 2012 saw many good changes take place and non-German euro-zone sovereign bonds are becoming top choices for investors. Once again, a word of caution for those who are thinking of venturing out here.
If you’re into Treasuries, then delaying your exit will see you get stuck with high yield. Investors should consider moving to the opposite end and borrowing at these rates. Investing these funds into a depressed asset class is a good idea. Check out real estate in this area.
Investors who live on the edge have great stories about how they managed to bring a company back from the brink. In 2013, you need to hold your horses and stop yourself from entering every risky situation, trying to salvage it. Patience is the key and in the New Year you need to practice it to the best of your abilities.
At the end of the day, you should make a list of investment options that you have thought of. Discussing it with your portfolio manager is a good idea. Following the mob will not help your case, and you need to carve out a niche for yourself.
This is a guest post by Dazzle Rogers of workwelltogether.com, a site that offers savings and current information on comcast cable and internet, as well as other comcast bundle deals at Comcast.com.
I'm Louida from Atlanta, Georgia and I'm a mother of two daughters, blogger, and full time working mom at a Business Consulting Firm.
I love helping others learn how to start working from home on the internet free to supplement their current income.
I also blog at Productreviewmom.com
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