The future of resource investing is an important topic for investors. Though there are many potential investments out there, some of the best strategies for resource investing include diversifying a portfolio, recognizing current market trends, remaining patient, and going beyond traditional investments.
In order to gain insight from astute resource investors, we reached out to five experts in the field and asked them to share their best tips for those who are looking to invest in resources in 2024.
According to Raul Perez, the Executive Director of Capital Markets and Investment Strategies at Global Impact Investment Strategies, the single most important tip for resource investing is to diversify. This means investors should look for opportunities across the board, from commodities and energy sources to social and environmental investments. “Your portfolio should include a mixture of traditional investments like stocks, bonds and real estate, as well as emerging sources of income like social impact investments,” said Perez.
Michael Borisov, Head of Data Science at JointStock, warned investors to be aware of current market trends when investing in resources. He recommends doing extensive research on commodities, energy sources, and even social investments in order to identify which assets are likely to be in greater demand in the coming years. Additionally, he recommends considering more sophisticated or alternative investments, such as blockchain-based digital assets or “tokenized” securities.
Rohit Krishan, Head of Evaluation and Impact at IGIMS International, echoed Perez’s tip of diversifying investments. “Not only should investors diversify their portfolios, but they should also look at investments that are not typically pursued by traditional investors,” said Krishan. “Look at social investments that seek to generate both a financial return and a positive social impact.”
Next, Oliver Lawrence, Chief Investment Advisor at Titan Financial Services, urges investors to remain patient with their investments and to ride out short-term fluctuations. “Individual investments may go through periods of highs and lows, but on the whole, resource investments are long-term standing investments,” Lawrence said. He also pointed out that investing in well-established energy resources, such as utilities and pipelines, can be a safer bet for those with a more conservative risk tolerance.
Finally, Sean Sullivan, Senior Analyst at Maverick Investing, suggests investors look beyond traditional investments. According to Sullivan, there are a wide variety of alternative investments that can offer strong returns in the future. “Investors should explore new investments, such as renewable energy, cybersecurity, and Big Data,” said Sullivan. “These asset classes are likely to see significant growth in the coming years and have the potential to provide strong returns.”
For resource investments in 2024, it’s important to consider the advice of expert investors. Diversification, understanding current market trends, remaining patient, and going beyond traditional investments are all key elements to success when it comes to resource investing. By following these tips, investors can potentially maximize their returns and minimize their risks.
