It’s important to know your own goal, stop point and investment strategy. If you seek to invest in a company, it’s important to enter the right industry. So, what are the best industries to invest in?
Keep in mind “low risk, low gain” and “high risk, high potential gain”.
Food industry: The food industry is made up of companies that deal in food products such grains, cereals, drinks, as well as related processes like food processing and food packaging. The food sector will probably continue to progress because it is essential for human life. Most countries have laws and policies that ensure that food is produced, bought, and supplied in an efficient way. Due to all of this, the food industry is among the safest industries for investment.
Healthcare industry: The healthcare industry has made great progress, allowing people to live longer and in better health. But the recurrent worldwide epidemics and pandemics (like Coronavirus) or seasonal flu and cold outbreaks serve as a constant reminder of our reliance on the healthcare industry. Despite preventative measures like vaccinations, the world will keep facing new diseases which needs healthcare pharmaceuticals. Healthcare will be a relatively safe sector.
Banking Sector: Experts predict that the financial sector, banking in particular will do very well making banking a good sector to invest in.
It’s expected that bank interest will increase, and that means banks will have cash, so they can invest it and make profits.
Technology industry: technology has always been the focus of innovation, especially in the current digital age. Computers, phones, IT and social media are all part of our daily lives, and will be even more in the future as the world becomes more connected. More and more tech companies want to further advance our society in creative ways. This sector will always exist in various forms as humanity continues to advance.
Real estate: Residential real estate appears to be a promising area of investment especially in Egypt, with new perks in the form of affordable housing, Debt deleveraging and inventory clean up. As a result, the number of buyers and investors is increasing.
Commodities: the recovery in capital goods is slowly but surely ensuring that industry will get better. So it’s a good choice for a long term investment.
Transport and travel: the transport and travel industries have been negatively affected by the coronavirus followed by the high cost of petrol ,and stock prices are lower than ever. so, It’s also a good time to invest.
Gas and petrol: the gas and petrol are overpriced due to high demand (as people need electricity to run appliances at home, gas to get warm in winter and fuel to power cars) and low supply (due to policy and Russia’s war and stop supplying Europe with gas), but once the war ends and supply goes back to normal, The price will normalize. So It’s important to consider the risk of this industry.
This is not a recommendation at all and we are talking about industry not companies. The stock market can be affected by other factors and isn’t easily predictable. Do your own research to weigh up the risks/rewards for yourself and don’t rush into any decisions.