Methods of investing in the world - Economist

In this article, we will present to you the most important investment methods in the world that investors are turning to, as the world of "financial markets" has witnessed in the recent period sharp fluctuations and radical changes, especially with regard to the interests of investors.

We find that despite the rush of countries to immunize their citizens so that they avoid "closing the economy" due to the Coronavirus, and then individuals staying in their homes due to the Corona pandemic, in addition to the huge economic growth of China, it has become one of the most important reasons for the change in investors’ desire to risk during the current period.

Thus, many questions are asked in light of market volatility and uncertainty amid the outbreak of new strains of the Corona pandemic, and the most important investment tools appear as in the following points:

After the "emerging markets" recorded their worst performance in the past decade compared to the American and European markets, emerging market stocks witnessed new strikes recently, especially "Chinese stocks" in light of government pressure to reduce the "monopoly of big companies" in many financial and e-commerce sectors.

As a result of the above, we have witnessed a divergence in the opinions of investors, some of whom advise investing and some adopt the "escape philosophy", and then we find that China's strict anti-monopoly measures of major companies such as Tencent, Alibaba and Didi are good for the future of medium and small companies And for the future of the Chinese stock sector as a whole.

It also gives smaller companies an opportunity to strengthen their position in the markets, and with regard to the largest investment opportunities in emerging markets, everyone agrees that they are located in India, Taiwan, Turkey, and Egypt.

If we look at "Cryptocurrencies", we will find that it is the password that attracts the attention of the markets in the recent period, given the significant rise in the value of digital currencies, especially Bitcoin.

It can be said that the increasing interest in cryptocurrencies is natural in light of the global trend to deal with Bitcoin, for example, we have witnessed the investment of many major companies such as Tesla in the world's most valuable cryptocurrency in addition to Dogecoin.

We have also witnessed many companies and sports institutions that are paying their employees’ salaries in cryptocurrencies, and although investing in Bitcoin may seem tempting, it has huge losses, such as what Bitcoin witnessed at the beginning of March this year after China’s fight against the Bitcoin currency and the scaling of miners.

If we take a look at the yellow metal "Gold", we find that gold has always been a safe haven for investors, especially in the current economic conditions and the spread of the "Corona pandemic" in late 2019.

Some investors view gold as the most appropriate investment, especially with the rise in inflation resulting from government stimulus operations in the markets, as is done by America and the European Union.

With Federal Reserve Chairman Jerome Powell announcing last week on September 1 that the bond-buying program may begin to ease, we saw a direct positive response from the markets.

But if we see the opinions of experts and analysts, we find optimism about a promising future for the performance of gold, and they advise the individual to allocate 10% of his investment portfolio in in-kind gold and not the shares of gold companies.