Right now, it’s never been more difficult for a lot of people to make money. The new definitions between what constitutes essential and non-essential businesses have shuttered a lot of companies, and the economic crisis surrounding the COVID-19 pandemic has shuttered some companies permanently. Therefore, a lot of people, many of which are quarantined with less on their plates than ever, are looking for new ways to make money. While remote work is certainly an option that can keep you safe and less likely to catch the coronavirus, there are a limited amount of remote opportunities available, even for qualified people. Therefore, many have developed a new interest in the stock market; and those who have already invested wisely have something of a cushion to rely upon as the pandemic wreaks havoc on the rest of their normal lives. Nonetheless, it can be a bit difficult to determine what exactly are smart stocks to invest in right now.
Many of us likely haven’t put much thought to the stock market until now. If you’re new to investing, perhaps the most important thing to do right now is to evaluate what industries are consistently doing well despite the pandemic crisis. And if you’re more experienced, you should probably be making the same evaluations nonetheless. Even experienced investors are now having to reevaluate what they were planning on doing with their money now that the pandemic is in play. The economy is more unpredictable than ever, with unexpected industries rising to take advantage of new opportunities, while old mainstay companies are looking at potential bankruptcy. Tactics that were once considered foolproof may no longer work as they once did. Recently, it was revealed that around 97% of real estate investors planned to increase the amount of capital they allocated to real estate over the next 18 months or so. Now that the pandemic has put a lot of people off of moving or buying real estate, they may have to change those plans. With that being said, you can only make determinations based on the information you have at the moment. Therefore, let’s look into industries that could potentially present smart stocks to invest in right now.
1. Consumer Staples
Would you have thought a few months ago that you should invest, both literally and financially, in toilet paper? Probably not. But one thing the pandemic has proven is that consumer staples are what people will prioritize when they fear a crisis on the horizon. If consumers could fill warehouses with toilet paper and paper towels right now, they probably would. But these are far from the only consumer staples that present potentially smart stocks to invest in right now.
New investors may also want to look into major food companies; not necessarily those associated with the restaurant industry, of course. Though restaurants are attempting to maintain their income through takeout and delivery, the pandemic has nevertheless hit the industry hard. If anything, consumers have responded by putting their money into delivery apps and services, which is why such companies have reported unusually high growth percentages. That sector in itself could present smart stocks to invest in right now. In general, however, restaurants offer luxuries and not practicalities. People will want food that they can buy inexpensively, for meals that they can safely at home.
Conversely, now is probably not the time to invest in lux companies in general. While consumers may want to buy custom jewelry, they probably can’t right now. A lot of people are choosing to squirrel away their money even if they’re financially stable at the moment. Those seeking to invest should look towards needs versus wants in this current economic climate.
2. Energy And Utilities
Speaking of needs versus wants, it’s virtually impossible to live in this world without energy and utilities. While some consumers may find it difficult to manage their bills at the moment, they’ll prioritize their “musts” first. A credit card bill might be ignored; however, a gas bill won’t be. If anything, concern over what could happen during the pandemic has led a lot of consumers to get overcautious, with some even buying generators to act as backups in case they lose power during the pandemic.
It’s true that investing in gas and electric companies may not sound like as much fun as investing in exciting startups, or fancy companies offering goods like handmade leather bags. But in many ways, investors should look at stocks and consider their income potential. Try to keep personal preference out of it, and focus on what you would very practically need in case of an emergency, and where your money would go. For a lot of people, this is going to mean steering away from some of the more “exciting” stock options, and going towards something more reliable. Remember too that as much as you can make money when investing, you can potentially lose money as well. The last thing you need during a pandemic is a financial loss. So use caution over excitement when making your plans during the current pandemic.
For that matter, listen to the experts. A lot of financial advisers can tell you about smart stocks to invest in right now, and if they steer you towards energy and utilities, listen to them. Now is the time to sit back and learn about your stock options, rather than trying to act too quickly. While it may be easy to get panicky during a crisis like this and invest in some new company that seems to be skyrocketing, remember that it’s smarter to look for industries that are reliable and well-tested.
The pandemic is changing the healthcare industry in many different ways. For one thing, it is very much under strain. Medical personnel are currently under an increasing amount of pressure, and a lot of people are hesitant to take jobs within the industry for fear of being exposed to the virus. For another, however, companies within the industry are more necessary now than ever. The pharmaceutical industry has always been reliable, as people will always need their medications. But now, consumers are becoming even more aware of their health risks, and they’re prioritizing their well-being in order to be as healthy as possible in the face of the coronavirus. This is obviously a great thing in general. However, it almost means that the pharmaceutical industry presents a lot of smart stocks to invest in right now.
Right now, a lot of consumers are being advised to reevaluate their health plans and to try to stay out of the hospital or urgent care centers as much as possible. This is both due to the fact that there is currently undue strain on the healthcare system, with a lot of hospitals being concerned about running out of beds, and due to the fact that hospitals and urgent care centers are potential epicenters for COVID-19. Therefore, Americans are trying to stay on top of their health and taking their pharmaceutical medications regularly. Furthermore, a lot of them are buying pharmaceutical products that are more supplemental, in an effort to further fortify their systems.
Of course, there’s another reason why there are smart stocks to invest in right now within the pharmaceutical industry. Obviously, a lot of pharmaceutical companies are essentially competing with one another in an attempt to provide treatments, and ideally a cure for COVID-19. This means that they’re taking in a lot of money, and also making money through the products they create for researchers that are exploring cures. While the idea of profiting off of the pandemic is not particularly appealing to anyone, the fact is that these companies do offer smart stocks to invest in right now because they are very much needed. Furthermore, the more that is invested in the pharmaceutical industry, the faster these companies can work to hopefully create options for those suffering from the coronavirus.
4. IT And Telecommunications
Like the pharmaceutical industry, IT and telecommunications have always been fairly strong and steady industries. Therefore, they would probably be able to offer good stock options at any point in time. However, now more than ever it’s become truly necessary to be able to communicate easily and reliable with people, and to be able to use technology without worrying about it collapsing. This is in large part because a lot of companies and schools are currently operating remotely. Therefore, phones and videoconferencing technology are being relied upon by students and employees alike. For that matter, many companies are executing tasks that would typically be done within an office remotely, which means that they need to be able to use easy to understand, foolproof software. If you’re looking for smart stock options right now, tech is truly everywhere. It was already important; now it’s crucial.
For example, it’s one thing for a company to have its employees working from home. It’s another matter entirely for those employees to be working at home without checking in with their managers and supervisors. Virtual offices allow them to be supervised remotely, and to easily check in with their managers. The difference between this type of technology and the type of fun videoconferencing tech that we use at home is that virtual offices can be monitored by upper management at the company, which means that there is less of a risk of company hours being wasted at home, or for that matter, unprofessional behavior going unnoticed.
Businesses are very much aware that there is a potential for a loss of revenue or productivity due to remote operations. Therefore, being able to access technology like reliable supply chain management software is remarkably important. A lot of businesses are also looking to outsource some of their remote operations to other companies, in an effort to save money. These third parties also offer interesting investment opportunities.
Of course, companies that specialize in communication solutions companies offer smart stocks to invest in right now as well, for similar reasons. It’s not enough to be able to talk to people on the phone when you’re quarantined. Now, people want to feel as if they can communicate more clearly with coworkers and loved ones alike, with less of a risk for confusion or that ever-so-annoying buffering. Importantly, communications technology represents both a need and want. People need to stay in close touch with their employees and students. People want to stay in touch with their loved ones. Communications technology also represents an important psychological factor, in that it keeps people from feeling as isolated as they would otherwise. This is more valuable than you might initially think, as the quarantine is causing a lot of conflict and mental health issues for people who feel as if they’ve really lost touch with each other. It goes beyond just looking at smart stocks to invest in right now and seeking out companies that could very well be what people lean on to stay connected in the future.
It’s difficult to know what the future holds for people in general, as well as many different industries. Remote data center services may very well be what a lot of companies find themselves turning to for guidance when altering the way that they work in a post-pandemic world. Consumers are having groceries that they once would have shopped for themselves delivered to their doorsteps. Much of the way that we live has changed, and in that sense, much of the way that we once invested has to change as well.
If you’re a more experienced investor, keep in mind that what may have seemed like a great idea a few months ago may no longer represent smart stocks to invest in right now. If you’re new, be cautious with your money but at the same time recognize the opportunities available to you. Now may not be the time to get rich quick off of investments, but it could present an opportunity for you to safeguard yourself and your family financially.