It seems like the markets will soon reach their ultimate lows, so investing more money in 2023 makes sense if I don’t need that money for five to ten years.
After all, firms like Berkshire Hathaway are investing heavily this year, so why shouldn’t I be?
I enjoy reading Finimize every day and use the Insights to inform how I invest my money each month.
I'm lucky enough to earn a decent salary and to be able to invest monthly through low-cost investing apps like Freetrade.
Big Tech has seen a big drop in value, but it still plays an increasingly major role in our lives. I think buying into this sector now is much better value than it would have been this time last year. Big Tech firms are profitable companies with good margins that can stand the test of time. I’m less interested in the volatile tech stocks that rose during the pandemic.
I don't plan to invest much (if any) into individual cryptocurrencies. I think it's much less risky to invest in the industry in general by buying shares of, say, Coinbase rather than buying a specific coin – and that could represent better value right now.
I don't want to invest in something that adds no value and delivers no functionality, as it seems very superficial, like a trend that people will lose interest in over time.
If I can manage day-to-day spending increases, I get comfort in the fact that one day I won’t be reliant on one income.
There could be opportunities as the market comes down from its highs from Covid, with firms that survived forced to improve their profitability so their business models stabilize.
I buy into the overall thesis of bitcoin as an alternative investment that could diversify my portfolio. Crypto can quickly become a complex topic to wrap your head around – I feel as I learn more, the more I invest.
I was never close enough to the culture and narrative to buy into them as a serious investment. By the time I was aware of meme stocks, they'd already hit mainstream news which I've always taken as an indicator that it’s too late.
Whilst the cost of living crisis may depress disposable income, next year could present good investment opportunities if there's some money left in the family budget for that. I expect the markets to bottom out in the next three to six months, creating an opportunity to buy solid stocks on the cheap.
Raising rates have had an outsized impact on Big Tech valuations that I put down, in part, to overreaction. With hiking cycles slowing down and eventually coming to halt next year, I expect some fundamental re-evaluation – and, in turn, some material price improvements in the sector.
Given the FTX debacle, I expect regulation to be fast-tracked. This may have a significant negative impact on prices in the short term, but I do welcome regulation and believe it will help pave the way for onboarding a lot of institutional investment.
I don't believe that they are suitable for an investment portfolio with a medium to long-term view. Scalpers and algorithm-based traders may benefit from their volatility profile, but investors who are not looking to trade that actively should stay away from them.
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