Finding investment opportunities amidst the Covid19 risks can seem like a futile effort, especially when taking into account that the viral outbreak is definitely not just raising health concerns. Unfortunately, the impacts of the global lockdowns directly influence the economy as thousands of businesses around the world struggle to keep the lights on. Therefore, it could be agreed that the global economy is facing unprecedented times. However, despite the growing concerns for the financial future, there are still a few investments that can be considered safe havens during this period.
Gold vs. Bitcoin
Gold has long been considered the safe-haven investment as it will remain a notable currency regardless of how the world changes. The commodity may have experienced some loss as economic uncertainty impacted investor decision making, although, the price of gold did not plummet as much as predictors assumed it would.
When it comes to Bitcoin, many have remained sceptical over the years; despite the digital currency making impressive gains. While some may remain sceptical, Bitcoin and a few other digital currencies have become something of a safe haven as well; aligning itself with gold as an almost unaffected investment.
While this may be because blockchain technology does not thrive off of the traditional economy, many gold investors moved over to Bitcoin recently. There are a few ways to convert gold to Bitcoin, although, savvy investors would spread investments over both opportunities.
Investing In Essentials
Countless businesses have been affected by the lockdowns and while even essential businesses have been impacted, it could be agreed that they remain among the most stable. Therefore, investors searching for opportunities among businesses should establish an essential trait to determine how likely the business is to thrive in the near future.
Banking On The Death Of Currencies
If you have noticed that your countries currency has rapidly been weakening since the outbreak, this is likely due to lockdowns starving the local economy. However, there is something of a silver lining for investors as not every countries currency has plummeted.
Therefore, investors are now able to bank on the declining value of currencies while also assuming the currency may gain in strength in the near future once lockdowns are lifted. Because some currencies have recently become extremely volatile, traders are also able to benefit from more notable profits by changing strategies and watching values increase and decrease daily.
Trying to find investment opportunities during economic uncertainty is slightly more trying, although, there are still ways that savvy investors can take advantage. Some would agree that every crisis should be considered an opportunity in one way or another, which is why it would be wise to assess the pandemic and its factual impacts on the economy and make realistic predictions of your own.
Some countries are far behind others as the virus did not arrive in each region at the same time. Therefore, investors are now able to compare how some countries have emerged and predicted similar situations from others who remain in lockdown.