In 2014, it’s safe to say that the up-and-coming investment opportunities are in emerging markets. While China and India remains popular places for business investment when long-term growth is desired, there’s more volatility and also greater opportunity in nations like Romania, Saudi Arabia and Chile.
Germany, Canada and Australia remain stable places for property and stock purchases by American and European investors, but those who want better returns need to explore where fewer investors have ventured.
When nations gain a better foothold on the international stage, their companies tend to rise in standing as well. That means investors will do well to watch for stabilizing and rising of some currently unstable places like Egypt in 2014. When these places become more stable and rise on the international stage, companies in these nations will become better investments. Watch closely in Africa, the Middle East and Brazil.
In some nations, however, investment will be necessary in the water supply, sanitation and electricity before greater growth can be seen. That presents a challenge to business and also an opportunity for the companies that get the contracts to do this infrastructure improvement work.
Finally, as emerging markets have grown in standing over the past few years, a second tier of newly emerging nations bears watching, particularly in the Middle East and Africa. By late 2014, some of these could be great placed to place money.
In all cases, however, it’s important to remember that international investment involves significant risk of loss, so it should be done advisedly.