In 2017, Aussies ordered $1.5 billion worth of food from apps. And it’s likely to get much bigger from here on. You can probably guess what this means for businesses like Deliveroo and Uber Eats? Their market is about to get a whole lot bigger.
So far Trump is getting his wish. US stocks are up almost 3% as we kick off 2019. And they’ll probably continue rising. But it won’t matter. This is not the big event that will change things for investors.
A choppy market doesn’t mean, however, that you have to sit on the sidelines. What it does mean, though, is that you might have to find different strategies instead.
Globalisation in reverse will not be a smooth transition. Millions of people will lose their jobs. They’ll need to re-skill and enter another profession.
A local strategy is usually one that dominates over time. And as we move to a localised world, I think these locally dominant companies are the ones that will benefit.
Most investors make a common mistake. They assume that global financial markets are based on the stock market. They’re not. Think about it. The world’s financial and banking system is based on lending money backed by the security of real estate.
Markets are down. The Dow, the S&P 500, the All Ordinaries. They’re all down over the last few days. And it’s all because of one silly sketch.
These are all gifts — from Santa to you. With lower stocks prices, potential returns go way up. Stocks that weren’t clear buys before are now worth considering. But where should you look specifically?
The political disruption going on in Europe could be a defining moment of 2019. But while it might push stocks prices around (in the short-term), you shouldn’t let it dictate where you invest in the new year.
In 2017, it was Trump. This year it was the US and China. In 2019, I expect it will be the EU pushing stocks every which way.