From blockchain to robotics, technology seems to be “where it’s at” these days. Investors may choose among companies involved in hardware or software, with some creating new products and others marketing and distributing them.
Today, in fact, we might find ourselves on the brink of an explosion in technology. With interest rates low and a lot of pent-up demand as the pandemic wanes, the climate is favorable for developing new ideas—along with new products and services—offering solutions to longstanding problems around the world.
Recycling
New technologies are focused on reducing plastic pollution of the oceans through chemical recycling and through creating alternative packaging products to replace plastic.
Protein production
Lab-grown alternatives to fish and meat can reduce greenhouse gas emissions and address hunger problems worldwide.
Electric vehicles
Hundreds of patents are being filed for solid-state batteries and hydrogen fuel cells to reduce the weight and cost of electric vehicles, all while increasing driving distance range.
5G communication
This 5th generation mobile network technology enhances wireless connections among machines and devices (smart phones, computers) across many different industries.
Omics
This new field is aimed at detecting genes and proteins used in medical screening and in developing research for treatment of disease.
Artificial intelligence (AI)
AI technology helps businesses collect data, then explain, predict, and respond with appropriate decision-making.
Blockchain
Blockchain technology helps reduce internet fraud, decentralizing the communication of digital
information.
Apps
Hundreds of new computer apps are being developed to solve specific problems. For example, the City of Moscow created a Social Monitoring App to counter the spread of COVD-19, using geo-positioning and algorithms to verify that citizens are at their self-isolation locations.
U.S. News called 2020 “the year tech took over,” explaining that the pandemic accelerated the adoption of new technologies. The first months of 2021 have been bullish for the Nasdaq (focused heavily on tech stocks), as well. That is not to say that the technology sector is without risks. Just as technology itself changes quickly, technology companies enjoying spectacular initial success can later fall behind. Of course, in addition to emerging technology, there is plenty of choice in technology fields already proven popular, including streaming entertainment (TV content subscriptions) and transportation (ride-hailing and delivery). What’s more, even if you’ve decided to stay away altogether from technology stocks or tech-sector funds, you might have more of those in your portfolio than you think, since some 24% of the Standard & Poor’s 500 index is made up of Alphabet (owner of Google), Facebook, Twitter, Apple, and Microsoft. (It wasn’t too long ago that those were thought of as the ‘technology of tomorrow”!) Interested in technology or growth investing? Learn about Sheaff Brock’s IntelliBuilD® Growth strategy.
Automation is one of the importance technologies that will be useful for business going forward. Please see information on the importance of precision in automation below.
Provided by tool and die manufacturing company, American Tool & Die
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