The Finance Blogger


Future Money Trends to Consider

Future Money TrendsWe decided to write this post about future money trends since it is the start of the new year and we have just finished paying for the holiday expenses. Now it is time to begin thinking about where to place our savings and investments for retirement so that we can maximize our future savings and quality of life in retirement. We have whatever we plan to save for the year and the decision regarding where we place our money among multiple choices will have a huge impact on our lives moving forward as we raise families and plan for retirement.

Future Money Trends

What are the major areas that are hot in the coming year in terms of trends. From the reading and research that we have completed, they appear to be the following:

  • Environment
  • Markets
  • Innovation
  • People
  • Government

No one has a clear crystal ball about the future, but there are clearly some things that will affect all of us on the macro level.  You may have your own opinions about what they are and the impact that they will have on us. That is actually a good thing since each one of us must apply our own individual situations to each of these areas and asses the impact that it is going to have on us. the planning horizon is also important. Are you looking 10, 20  or 30 years in the future? These five are our thoughts about the major areas that will impact us over the next 20 years.

Environment – has been in the news in a big way over the past 10 years. There is no doubt that this is going to impact every human in the world over the next 20 years and beyond. Investing in environmental products might be a good bet, providing you pick the right companies and products. Reducing your own personal impact on the environment must also be a good thing.

Markets – will be volatile over this period of time, however history has shown that if you invested in quality stocks that are diverse, chances are your nest egg will grow over time at the average of 7%. You can invest in speculative equities, however you can lose big time or make huge amounts of money. Can you sleep at night with the risk and can you tolerate the loss if that happens?

Innovation – we have more and more innovations that are coming on line and there seems to be no end in sight. The key questions is what disruptions will occur over 10 years that will fundamentally change the industries you are invested in. For example will the combination of solar power, wind power and electric vehicles change the car culture so much that the entire industry shifts?

People – major changes are taking place in India and china as more and more people join the middle class. Some people suggest that the west is in decline unless there is a major shift in the population with more people moving to North American and Europe. How will the current Arab situation resolve it self? How will this effect us all over the world more than it already has.

Governments Do Play a Big Part

Government – come and go, especially the dictators and economies that are not doing well. Will democracy continue to survive or will it succumb to it’s own inertia and red tape that seems to be enveloping our culture? The big areas to keep an eye on are Russia – will it survive; Will China continue it’s major evolution and become a dominant power; will Indian and Pakistan also evolve; and what will happen to Europe? These economies and governments are all in transition of some sort and will have a huge impact on us in the next 30 years.

What is your guess as to what is going to happen regarding Future Money Trends ?


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