Investing always seemed to be a sweet-sour recipe; a mix between a full cup of taking risks, 2 spoons of seizing opportunities, a handful of deep knowledge and a pinch of good luck.
Does it really have to be this way?
For some people investing remains as a mystery. Never sure enough of what step to take first or which direction to set your focus. Some niches appear to be secure and more obvious, but most of us want a return of the investment that really pays off.
We wanted to get a better idea of what to expect for in the next 10 to 15 years so we asked investment experts the following question:
What’s the future of investing?
This is what we learned…
Toni Lane Casserly, Founder of CoinTelegraph & Partner at BitNation
“With digital currencies, any person in the world is able to create and launch a tradable asset for investors at the inception of their company. The ability to manufacture tokens for an ICO using blockchain technology reduces risk for investors (you can divest at any time), democratizes access to capital as well as opportunities, and provides a day to day calculation for the authentic day to day success of the platform; the value of the token will evolve relative to the success of the company.”
Kirill Schmidt, Head of Financial Services at Tranio
“I anticipate that in the next 10 years we’ll see more and more asset class/investment strategies for those who want to invest, but who don’t have a lot of extra money available. I expect it to become increasingly possible to invest as little as USD 1-10. I think this trend will seep through all of the traditional investment avenues: the stock market, real estate, venture and beyond.
With robo-advisors rapidly gaining popularity, I anticipate investment methods will become increasingly simple. In the coming years, I expect it to become less and less common for people to schlep to the bank or the broker to buy equities or to the realtor to buy square meters; instead, more and more investment options will be as simple as clicking a button.”
Adam Torres, CEO of Century City Wealth Management & Author of Money Matters
“The future for investing will look a lot like the past. The financial industry will package new products for investors increasing the reach of capital markets to everyday people. The progression has looked something like this, first we were traders of physical goods. Then we were traders of paper or contracts. This led to the creation of stock and other investment vehicles. Which progressed to mutual funds and fund of funds investment instruments. This brought us to the ETF era we find ourselves currently in which will quickly move into the next stage of evolution, Robo-Advisors. I predict FinTech will carry the day over the next decade. I have traveled to places as far away as China giving speeches on wealth management practices and in every market I have seen, the elephant in the room is the Robo-Advisor.”
Adham Sbeih, CEO of Socotra Capital
“A writer for the Sacramento Union, Sacramento’s first newspaper, once said, ‘I am more concerned about the return of my money than the return on my money.’ That writer was Mark Twain. He learned that lesson in an era when the economy was hot, fueled by California Gold Rush. Massive fortunes were gained, but many, many fortunes lost.
Nothing much has changed in investing in the one hundred fifty years since then. The bottom line is, don’t lose your money on speculation. Be prudent and smart, especially if it feels like everyone else is making money. If you are in your retirement years or looking to retire, don’t invest in what you believe to be a gold mine–look for conservative value investments.
In short, the future of investing mirrors the past.
Speaking from personal experience, I favor first deeds of trust, as they provide a monthly income, backed by real estate. These investments protect you from losses that many other investments do not. If returns seem too good to be true, it’s probably because they are too good to be true. There is no magic sauce. Be smart with your money.”
Kristin Hull, CEO of Nia Global Solutions
“The future of investing includes investors waking up to become more conscious, values aligned investors. More and more investors of all kinds, with women and millennials leading the charge, will choose to not only align their assets with their values, they will leverage their investment dollars for the change that they want to see; seeking not only a financial return, but social and environmental outcomes as well.
Women will be stepping up to manage their finances and this will change the nature of industry and the way we invest, moving us away from indexed funds, to new benchmarks. Rather than the S and P, or our incumbent economy, we will have investors choosing to bench mark to the next fair, just and sustainable economy.
Investment will shift from focusing on a simple financial return, to a focus on sustainable products and services.
From the boardroom to the executive suite will see investors choosing companies with more diversity in leadership.”
George Hartley, Co-founder & CEO of SmartrMail
“The future of investment will be lead by technology platforms. In early stage technology investment, sites like angel.co are democratising access to investors for startups. Investments are still lead by sophisticated ‘syndicate leads’ who are generally thought leaders in the space, but any accredited investor can easily join their syndicate and effectively back the lead. Previously this was a ‘you gotta know someone to have access’ space. On the other end of the scale, platforms like Betterment and Wealthfront are giving everyone access to low risk investment vehicles that match or beat the index.”