While the big risk remains for a large downturn in the market (see Ray Dalio's book, "Big Debt Crises"), we're about to see a period of time with more opportunity for the low-net worth individual to invest in productive assets than ever.
It's precisely during this next downturn that we'll see the seeds of growth be built for an explosion of new sectors for investment.
My vision for the future includes the everyday investor having access to a growing range (I believe it will be exponential) of interesting and productive investment opportunities that supplement income and grow savings.
I may try and document some of these opportunities as I explore (and invest) but here are all of the investment opportunities I’m seeing that are opening up…
Some examples of what's to come:
1. Digitized assets
You invest in a fraction of the assets and get a return on its growth. (For ex. Rally Rd.)
2. Real estate investment funds
You own fractional shares of apartment complexes, through crowdfunded models of real estate. (ex. Fundrise)
3. Digital Art/commodities
Digitized art owned via blockchain (ex. Masterworks, etc.)
4. Digital Currency Investments
Investing in Base Layer currencies that handle settlement for payments on the internet. (ex. BTC, ETH)
5. Staking and Mining
Putting your capital to work to secure a network. Or mining base layer currencies using power, or storage. (ex. Coinminer, HoneyMiner, Lollipop etc.)
6. Prediction Markets
(ex. Augur, Esports etc.)
7. Generalized Mining/Network Support and Infrastructure
As an early adopter of a network, helping bootstrap for helping bootstrap the network.
8. Hardware/Robotics
Owning automated robotics, or shares of automated cars or scooters for rideshare networks. (ex. Goat Scooter).
9. Lending, Microfinance, Algorithmic Hedge Funds
(MakerDao, NumerAi)
And this is just the tip of the iceberg…
Not only that, but there will be higher liquidity among all of these assets, meaning your capital is less locked up in a system and more freely adjusted (not to mention automated allocation, algorithms etc.).
In my career, I hope to slowly shift to becoming an investor at least part time. This, I hope, will be aided by the Fintech space providing tools for investing (Robinhood, Acorns, Cash App etc.) and the coming wave of new asset types.
Now, before I spend money on anything other than essentials, I ask myself, "Can I instead put this into a productive asset?"
Buying "stuff" just doesn't make me that happy, but playing the long game and being involved in business ventures and investments, does.
xx David