The new year is once again upon us. While some are glad that 2016 has finally come to an end, the fact of the matter is that 2017 could very well to prove to be just as volatile (from both a positive and a negative perspective). Many are now looking ahead and trying to discover ways to leverage their investment strategies in the months ahead. Let’s take a look at some excellent opportunities as well as a handful of strategies to keep in mind along the way.
Consider the AIM Market
The Alternative Investment Market (AIM) is often overlooked in favour of larger indices such as the Dow Jones or the FTSE. However, there are a number of excellent opportunities which can be much more affordable when compared to blue-chip companies. One worthwhile example can be seen in the firm Satellite Solutions Worldwide (SAT). Not only is Satellite Solutions the largest provider of satellite equipment in the European Union, but the fact that European needs to follow its commitment to provide quality communications services to its customers signifies that this company will perform quite well (1).
Another possibility is Stride Gaming (STR). The main benefit behind this venture is that the firm floated on the AIM only 19 months ago. So, it is rather young in terms of growth potential. Stride Gaming is focused on consolidating the online market for bingo and since its inception, a number of acquisitions have been made. It is also estimated that EPS (earnings per share) levels will increase during the upcoming financial year by eleven per cent (2). As the realm of online gaming becomes more popular, it is likely that Stride Gaming will continue to perform well.
Keeping an Eye on Gold
In this sense, we are not necessarily referring to the commodity alone. The major advantage in regards to becoming involved with a mining company is that physical gold does not have to be purchased in order to enjoy a profit. This is a particularly strong benefit for those who are on a limited budget. One pick which appears to be a hot topic is Aurum Mining (3). As prices are currently at low levels and due to the fact that a new management team has been appointed, the future does indeed look bright.
Taking Tech to the Bank
Technology stocks have always been a popular form of investment and this same principle will be seen throughout 2017. However, it is often difficult to find up-and-coming firms within such a massive marketplace. One company to watch is Micro Focus. Their main service is extending the longevity of in-house software and hardware systems. As such architecture will often change in the blink of an eye, many organisations are keen to take advantage of these cost-cutting opportunities. Still, this is no small venture. Micro Holdings is currently associated with a market capitalisation of 1.245 billion USD and as it is listed on the FTSE 100, exposure is never a question (4). This is a great option for those who hope to capitalise upon any sudden price movements during 2017.
The Right Strategies and Access to Information
2017 will also be a year partially defined by an unprecedented access to real-time trading data. So, investors need to leverage these sources in order to place themselves into the best possible positions. The use of smartphones is continuing to rise and it is perfectly reasonable to expect large portals such as CMC Markets to offer targeted services for remote users. Traders must also have access to late-breaking financial news as soon as it is made available. This is especially pertinent to those involved with CFDs and Forex positions. The simple fact of the matter is that executing a trade via traditional methods may soon become a thing of the past.
It is impossible to predict with certainty what 2017 has in store. The point here is not to eliminate risk, but to mitigate it as much as reasonably possible. Please feel free to use these recommendations to your advantage in order to make sure that the upcoming year is a financial success.