Global economies are ever changing, and with each new year comes a host of new opportunities to invest your available capital and, if you make the right moves, watch your money grow. Investors are always on the lookout for sectors with the potential for substantial growth and promising returns over both the long and short term, and for those seeking new ways to make their money work harder for them in 2024, opportunities abound.
Looking ahead over the next five years, certain industries stand out for their projected expansion and are sparking interest for savvy investors across the globe. From renewable energy to the increasingly popular online casino industry, here, we take a look at five sectors worth keeping an eye on, taking into consideration their current market size, projected growth, and the factors driving their ascent.
Renewable energy
The issue of climate change isn’t going anywhere, and pressure is mounting on governments across the globe to meet ambitious targets when it comes to reducing their annual carbon emissions. With this in mind, it seems inevitable that the renewable energy sector will continue its rapid growth over the next five years. Valued at over $928 billion in 2020, it’s projected to surpass $1.5 trillion by 2025, according to Market Data Forecast – which means even in the immediate short term, the outlook is appealing for investors.
Along with ongoing government incentives, technological advancements and a growing awareness of climate change will contribute to this growth over the coming years, with opportunities in solar, wind,and hydroelectric power generation looking particularly attractive. Companies specialising in energy storage solutions are also worth taking a closer look into and can also offer some potentially fantastic returns.
E-commerce
The shift towards online shopping, which was dramatically accelerated by the Covid-19 pandemic, has seen the e-commerce industry elevated to even greater heights, and its rapid growth is unlikely to slow down any time in the near, or even longer term future.
According to Statista, global e-commerce sales will surpass $6.3 trillion by the end of 2024, up from $3.5 trillion in 2019, which is no small feat, and over the next five years, it’s looking set for exponential growth.
Increasing accessibility via smartphone apps, constantly improving internet infrastructure, and an increased appetite for convenience amongst consumers are all key contributors, and e-commerce platforms, logistics and delivery services and payment processing companies are all appealing prospects for investors in this field.
Biotechnology and pharmaceuticals
The biotechnology and pharmaceutical industries have always seen a good level of growth, with cutting-edge research placing them at the forefront of innovation – and over the coming years, we’ll almost certainly continue to see advancements in healthcare and medicine.
According to Grand View Research, thanks in part to an aging population, along with the sadly increasing prevalence of chronic diseases, the global pharmaceutical market is expected to see massive growth by 2025, exceeding $1.5 trillion by 2025. Biopharmaceutical research, tailored medicines, and the demand for vaccines and treatments are all major factors behind this growth. Keep your eye on companies involved in pharmaceutical discovery, clinical research and biotechnology R&D.
Artificial intelligence (AI) and machine learning
AI and machine learning have transformed industries across sectors, from finance to manufacturing, and everything in between. Valued at over $62 billion in 2020, a report by Global Market Insights found that the global market is projected to exceed $300 billion by 2027.
Advancements in algorithms, a surge in data generation and the integration of AI into various applications will continue to drive their growth, with everything from AI-driven software solutions and predictive analytics to robotics and autonomous piquing the interest of savvy investors across the globe.
Online casinos
The online gambling industry has also seen significant growth in recent years, which can be partly attributed to the Covid-19 pandemic and the associated lockdowns, which forced high-rollers from across the globe to seek out their entertainment of choice online. But it isn’t the only reason for its spike in popularity, which has also been driven by factors such as changing regulations, technological advancements, and shifting consumer preferences.
The global online gambling market was valued at over $66 billion in 2020 and is projected to surpass $127 billion by 2027, according to Research and Markets, and as providers continue to leverage smartphones to offer greater convenience and accessibility and integrate digital payment methods including cryptocurrency, along with the increasing acceptance of online gambling around the world as a form of entertainment, this impressive level of growth will only continue. contribute to this growth.
As well as investing in online casino operators, you might also like to consider opportunities in the realm of gaming software developers and technology providers servicing the online gambling sector.
Disclaimer: Investing money carries risk, do so at your own risk and we advise people to never invest more money than they can afford to lose and to seek professional advice before doing so.
