SHARE ON
The world of investment has changed a lot because of the COVID19 situation, as many businesses had to make a 180-degree shift in their strategies. The past few years have been uncertain for businesses due to market volatility. However, the uncertainty doesn't necessarily mean you cannot score good profits.
Wealthy investors earned annual returns of approximately 17.5% on average, and experts suggest that this number could increase in the right investment sectors. However, this can only be possible if investors know the right investment areas for 2022. We understand that analyzing the market trends and potential investment opportunities isn't everyone's cup of tea. Thus, we have listed a few investments that will skyrocket in 2022.
Top 5 Investment Trends that Will Skyrocket in 2022
Following are the most promising investment options to make good profits in 2022.
Healthcare Industry, Biotech
The healthcare industry is advancing rapidly and promises high returns for investors. The use of mRNA technology in Covid vaccines by health experts is just one example as research is now more expansive with new findings every few weeks. This means that the healthcare industry will follow a more customized approach and offer personalized treatments based on individual DNA gnome requirements.
Biomedicine, pharma, neuroscience, etc., all benefit from this development in the industry as they are now sharing more data and working in collaboration to develop new treatments. The employer health costs may also go up by 6.5% in 2022, which will also contribute to the growth in the industry.
Digital Technology, the Internet of Things
Digital technologies have had a steady growth in 2021 as many businesses moved to online platforms. It is most likely that this trend will continue in2022 as well if we consider the current momentum of the digital technology sector. The semiconductor chip shortage is another indicator that more and more businesses are now adopting digital technology for growth.
However, we expect this shortage to ease in 2022, which is great news for other businesses. Remote working, private purchases of smart devices, mobile phones, wearables, etc., and other market trends have contributed to the popularity of the Internet of Things (IoT) in the past year due to the pandemic.
Moreover, recent developments point towards the steady availability of the 5G tech, which will also contribute to this industry. Lower latency data, higher bandwidth speeds, and technologies like IaaS and PaaS will make IoT the next big thing in 2022. Companies will also consider cloud migration and invest in digital initiatives to accomodate the changing workforce.
Machine Learning and AI
Artificial Intelligence and machine learning may become the most transformative industry in the years to come, and we can already notice the signs of this development. The machines may not yet replace human workers by 2022, but they can still achieve more than in the past. For now, you can expect humans to work with automated machines to increase efficiency and boost production.
More and more people interact with artificial agents with low-code or no-code AI to develop more complex engagement. For instance, AI tech is already making a huge impact on the marketing industry by converting potential qualified leads into buyers. The tech helps engineers identify wear and tear and recognize maintenance requirements.
Moreover, machine learning and AI will help recognize patterns of cybercrimes in the cybersecurity sector. Statistics reveal that AI tech will lead to an economic boost of US$14 trillion across 16 industries by 2035, making it a golden opportunity to invest in right now.
Renewable Energy
Organizations are now focusing on renewable energy more than ever because of the pandemic. The International Energy Agency (IEA) suggests that we will generate and use 40% more renewable energy in 2022.
Energy conservation is one of the biggest concerns globally, and we can expect the market to thrive and make strategies. Liquid hydrogen, bio-fuel, solar energy, and fusion energy are viable sources for the production of renewable energy. The extreme weather changes have affected millions of people in 2021, and the main reason behind these events is global warming. Thus, it is safe to assume that people will invest more in renewable energy, not only to make profits but to save the planet and reduce carbon footprint.
According to statistics, renewable energy makes up about 90% of new power capacity expansion worldwide, even in 2021. We can expect this trend to boost in 2022 and reap better profits.
Cryptocurrency
Cryptocurrency has been one of the high-yielding investment options over the last few years. It is a better option than many other valuable commodities, including gold and oil. People are now investing in crypto as it seems promising, is a decentralized entity, and is a relatively secure method to operate a business.
However, it is still quite a volatile option for investment, considering how fast it changes. Bitcoin, for example, crossed the $1000 mark in 2017, and the rates kept fluctuating. It jumped to a whopping $65,000 by April 2021. We agree that it went through several drops since then but is still a viable option for investment since it stands at $60,000, which is not a common figure for a global exchange form.
Bitcoin continues to soar high despite several countries banning its trading, including China. We think that cryptocurrencies like Bitcoin are here to stay and won't become obsolete anytime soon.
Final Words
That said, you should know there are plenty of high-profit investment options in 2022, but all you need to do is keep an eye on the market trends. You need to have the capital for these potential investment sectors, know how to devise a safe investment strategy, and research these industries before you make a decision. Also, remember, it is better to allocate your funds in multiple assets rather than investing in one. It reduces the risk and protects you from market volatility.