Years ago when I was learning how to drive, my instructor always reminded me to “always look further ahead!”. The same principle can be applied to investment too.
Investing is all about the future. To seize investment opportunities, we need to take all things into consideration and keep abreast of the latest developments in the financial markets. Here are some recent popular investment topics that I’d like to share with you.
Fintech
When it comes to Fintech and investment, most people would closely associate them with cryptocurrencies. In fact, Fintech covers aspects beyond cryptocurrencies and related financial products. The “ABCD” of Fintech are: Artificial intelligence (AI), blockchain, cloud computing and big data. Together, these four elements of Fintech drive innovation in global financial services, bringing in different new investment opportunities.
Sustainable investing
A climate change issue becomes critical, it is also recognized that environmental factors, including climate change, can provide companies growth opportunities, as well as significant risks. Green finance or sustainable investing has gained much traction and advocacy efforts from the financial sector, including international organizations, regulators, market practitioners and investors around the world.
Sustainable investing is on the rise. This is evidenced by having more related financial products such as ESG and green funds in the market, to provide investors access to green or sustainable investing. In addition, a growing number of indices and ratings on sustainability or ESG are now available in the market, assisting investors to better understand the sustainability performance of companies and get a more accurate picture of their investment value.
Mainland investments
Following the Shanghai-Hong Kong Stock Connect and the Shenzhen-Hong Kong Stock Connect, as well as the mutual recognition of funds, the Cross-boundary Wealth Management Connect Scheme has recently come online, allowing Hong Kong residents to invest in eligible investment products distributed by Mainland banks, offering more Mainland investment opportunities.
Investment is not about living in the present but being forward-looking. That is why it is important to keep an eye on market developments and latest information from regulators.
