Chris’ note: Markets have been tough on investors the first half of 2022. But as I’ve been hammering on, as long as you hold on through the volatility, you’ll make it out fine.
In fact, now is a great time to position yourself to profit – if you know where to look.
That’s why today we’re sharing an insight from Rogue Economics colleague Nomi Prins. She’s a former global investment banker who now helps regular folks navigate – and profit from – the market distortions that central banks’ massive money creation causes.
Below, she highlights the top five sectors on her radar right now. They’re full of profit opportunities you can start taking advantage of today…
Governments and their central banks have unleashed trillions of dollars of stimulus since the 2008 financial crisis and in the wake of the COVID pandemic.
This has led to what I call The Great Distortion – a discrepancy between how money flows to the real economy versus to the financial markets.
The money keeps flowing to the top while ordinary Americans get screwed over.
And this distortion is here to stay. But this new reality is handing us profit opportunities – if you know where to look.
So today, I’ll break down the five main sectors I see as the most compelling and profitable right now.
And I’ll show you how you can take advantage of the changes in these sectors today to grow your wealth in the months and years ahead.
The focus on clean and sustainable energy sources is growing globally.
Worldwide, we spent $750 billion on clean energy technologies and efficiency in 2021. But there’s more to come…
In November, the U.S. government passed a $1.2 trillion infrastructure bill. It set aside $65 billion to update the nation’s electricity grid to hold more renewable energy.
The U.K. pledged $4.1 billion for clean infrastructure projects in developing economies. And in November, it announced funding for a $660 million solar plant.
Meanwhile, China is building the world’s largest solar-powered hydrogen plant.
All this investment will bring opportunities in sustainable energy and green tech.
Which brings us to the next sector to keep on your radar…
The $1.2 trillion U.S. infrastructure bill reserves $110 billion for repairing roads and bridges, $66 billion for railroads, $25 billion for airports, and $17 billion for ports.
This sector includes all the building materials, precious metals, engineering, and construction companies that go into renovating today’s world and creating tomorrow’s.
There’s some overlap here with the New Energy sector. The Biden administration aims to make 50% of vehicle sales in the U.S. “zero-emission” by 2030. For that to happen, we need widespread electric vehicle (EV) charging infrastructure.
There are now around 118,000 EV charging stations across the country. But the target is 500,000 by 2030. The infrastructure bill puts $7.5 billion towards that.
This sector covers transportation, communication, health, and space.
Again, there’s some crossover. The EV charging infrastructure I mentioned above is one transportation tech. So we’ll focus here on the other three areas, starting with communication…
The infrastructure law set aside $65 billion to extend broadband access to all areas of the U.S. And the 5G rollout continues to pick up momentum. Mobile operators are set to invest $300 billion in their networks between 2020 and 2025.
Next is the health sector. When coronavirus news first broke in 2020, scientists estimated it would take years to develop a vaccine. But with advanced genetic editing and sequencing technologies, as well as artificial intelligence (AI), it took just weeks. This is part of a broader acceleration in healthcare innovation.
Finally, space. Private investment in space companies hit a new annual record of $14.5 billion in 2021. And investment bank Morgan Stanley (MS) has said the global space industry could generate more than $1 trillion in annual revenue by 2040. That’s up from about $447 billion in 2020.
This is one of the most thrilling sectors to arise since the 20th-century space program.
The metaverse is a series of virtual worlds. It’s an online space where we can live, work, shop, meet friends, and attend shows… all without leaving the house.
Bloomberg estimates the metaverse will be worth $800 billion by 2024.
Facebook, one of the world’s best-known companies, changed its name to Meta in October to signal its focus on becoming a metaverse company.
We’re closely watching for plans from other big names, including Sony (SONY), Google (GOOG), Microsoft (MSFT), and Samsung.
AI is hot, too. Many industries are already using it… from finance and media to healthcare, agriculture, law, retail, oil and gas, and manufacturing.
And the number of companies – from startups to industry titans – developing AI is staggering. Some of the most prominent players are Amazon (AMZN), Apple (AAPL), Meta (FB), Google, IBM (IBM), Intel (INTC), Microsoft, and Nvidia (NVDA).
All this investment will unlock explosive economic value. Consulting firm McKinsey estimates that AI will add at least $13 trillion to the global economy by 2030.
My fifth and final sector to watch is New Money.
It covers companies and tech that transcend the big banks’ old monopoly on financial services, such as payment transfers, loans, and deposits.
That includes cryptocurrencies and their underlying blockchain tech.
The number of crypto wallet users has grown over 9,500x in 10 years. And the total crypto market cap has shot up 565x over the same period.
Crypto is still evolving. And it’s volatile. But it’s disrupting Wall Street, traditional central banks like the Federal Reserve, and the main global fiat currencies, including the U.S. dollar, the euro, and the yen.
You can start with the SmartETFs Smart Transportation & Technology ETF (MOTO).
It invests in companies in the self-driving and EV spaces. And it focuses on longer-term investments.
It’s one great way to take advantage of the top five sectors on my radar.
Plus, I’m hosting a special event tomorrow at 8 p.m. ET to unveil a strategy I’ve been developing and perfecting for the past two years.
It’s based on the same type of strategy big banks paid me millions to develop during my 15 years on Wall Street.
You can use it to make money in these distorted times – even when markets are crashing.
At my event, I’ll even give away the name of a recommendation that I believe could double your money. Go here to reserve your spot. I look forward to seeing you there.
Editor, Inside Wall Street With Nomi Prins