• Investing for 2030

    By July 13, 2020Investments

    We all know the world is changing and our children and grandchildren will live in a world completely different from the one we grew up in. We all know that technology companies have replaced the old oil and resources companies as the most valuable in the world and names like Apple, Amazon, Google, Netflix and Facebook dominate the way we live today. But there are many companies currently still flying somewhat under the radar which will have a profound impact on our lives in the years to come. If you bother to look more intently, you might see the following names:

    Transport

    • Virgin Galactic is a British space flight company within the Virgin Group. It is developing commercial spacecraft and aims to provide suborbital space flights to space tourists and suborbital launches for space science missions. The one-year share movement was 80%.
    • Tesla Inc is an American electric vehicle and clean energy company based in Palo Alto, California. The company specializes in electric vehicle manufacturing; ¬†battery energy storage, from home to grid scale; and, through its acquisition of SolarCity, solar panel and solar roof tile manufacturing. The share has increased in value 483% over the last 12 months.

    Payment

    • PayPal Holdings Inc is an American company operating a worldwide online payments system that supports online money transfers and serves as an electronic alternative to traditional paper payment methods like cheques and money orders. The one-year share movement has been up 53%.
    • Bitcoin we all know as the very controversial virtual money, loved by some and hated by others. The value movement over one year has been -24%.

    Healthcare

    • Seattle Genetics is a biotechnology company focused on developing and commercializing innovative, empowered monoclonal antibody-based therapies for the treatment of cancer. The one-year share movement has been up 173%.
    • Illumina Inc is an American company. Incorporated in April 1998, Illumina develops, manufactures, and markets integrated systems for the analysis of genetic variation and biological function. The one-year share movement has been 0%.
    • Cerner Corporation is an American supplier of health information technology solutions, services, devices, and hardware. As of February 2018, its products were in use at more than 27 000 facilities around the world. The one-year share movement has been -8%.

    We chose these three themes specifically because we believe that consumers are turning to transportation that will be environmentally friendly, self-driving and with the development of the Hyperloop, much faster; that space tourism is on the verge of becoming commercial; that people will move away from cash and embrace online payments as well as virtual money; and, lastly, that not only living longer but with continued good health, is becoming an obsession.

    There are other areas that will dominate the way we live in future, like the need for faster computer chips for online gaming, which is overtaking actual sport in spectator numbers. Here Nvidia is a market leader with a share price up 162% over the last 12 months. Cloud storage is also big, for all the data we gather and want to save, and Microsoft, Amazon and Google remain big players there.

    As you can see, owning these new generation shares can be somewhat hit and miss, but some of them will make it and may become the new Apple, Amazon or Facebook.