When the steam train was first invented many investors made a fortune building railways. When the automobile was invented many investors made a fortune building cars.
The first investors into cars and railways made a lot of money. Later investors often did not.
Clearly, the need to be first is vital, but with so many different companies striving to make a breakthrough, wiser investors must worry how many of them can actually be first?
How to pick a winning company from a sector that is crowded with start-ups and ‘next-best-ideas’?
The secret perhaps, is to invest in technologies that are so large, with so many different products, applications, and variations that being first is not the key.
Here are two such technologies, that will not only change our world, but are ideal investment opportunities for even small investors, even when so much of the research has already happened.
Blockchain
New technologies create new markets, and no new market is predicted to be bigger than blockchain.
Business consultants at Gartner estimate that, “Blockchain willcreate $3.1 trillion in business value by 2030.” This is largely because blockchain technology will play a role in any business that stores digital data or makes transactions. The result, according to PwC, is that, “It’s possible to imagine that 10% to 20% of global economic infrastructure will be running on blockchain-based systems by 2030.”
“The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.” Alex Tapscott, author of ‘Blockchain Revolution’.
Any business that getting an early foothold into such a large and open market will be a healthy place to invest. According to Aviram Eisenberg, Cloud-ware specialist and business consultant at Ignite, there are plenty of start-ups to choose from. As he reports, “From blockchain incubators to crowdfunding campaigns that raise millions, tech start-ups are cracking the enterprise blockchain market wide open. Big tech might drive the big numbers, but it’s the new players that are driving the excitement.”
Nanotechnology
There is big money to be made in very small things. According to Research and Markets, “The global nanotechnology market is expected to exceed US$ 125 Billion mark by 2024.”
And while this may seem like small potatoes compared to the potential revenue from other technologies, such as blockchain, driverless cars, and commercial space flight, nanotechnology will have a larger impact on the modern world than the others combined. Furthermore, from an investor’s perspective, its potential for revenue will continue to expand with every passing decade.
Nanotechnology involves the use of materials on a minute scale (1mm = 1 million nanometres). The width of a human hair is about 100,000nm.
Materials used at such a tiny scale have different properties and special advantages over those used in bulk.
For example, a gold bar must be heated to 1,064oC before it starts to melt. But the same gold bar in a nanoform will melt at 591oC.
Similarly, gold (as an inert material that doesn’t corrode or tarnish) would normally be considered a silly material to use as a catalyst for chemical reactions. However, at a scale of 5 nanometres it can act as a catalyst for a reaction such as oxidizing carbon monoxide.
The American Chemical Society notes, that one of the most versatile applications of nanotechnology is nanotubes. Stating that, “Carbon nanotubes are one hundred times stronger than steel and yet also much lighter.”
Nanotechnology enables engineers to do things that were previously impossible, giving it real-world, practical uses.
As the report adds, “Nanotechnology continues to have a broad and fundamental impact on nearly all sectors of the global economy, namely electronics, energy, biomedical, cosmetics, defence, automotive and agriculture among others.”
But most importantly, unlike other breakthrough technologies, nanotechnology and blockchain are already being used and making money.
As the American Chemical Society observes, “The average person already encounters nanotechnology in a range of everyday consumer products – in hand washes, bandages, socks, sunscreens, medicines, skin care products, and cancer detection techniques.”
Similarly, companies involved in blockchain also have a solid customer base and steady revenue stream that looks set to grow and grow. According to a PwC 2018 survey of 600 executives from 15 territories, “84% say their organisations have at least some involvement with blockchain technology.”
Choosing a reliable investment that gives a decent return may never be easy, but by focusing on proven technology in proven markets where customers have already proven their willingness to pay, the way to choosing a smart investment may be a little clearer.
Converting nanotube technology into a practical solution requires a lot of know-how combined with business experience.
The company has also been cooperating with leading nanotechnology researchers to develop practical applications for nanotubes in industry.
By combining their knowledge of raw material supply with a technological understanding of nanotubes Team Trade has created the conditions for expansion into this exciting field.
In talks with their customer base, they have begun development of novel applications of nanotube technology with a set market in place. They have also begun receiving investment in preparation of meeting this demand.
If you are interested in knowing more about the work of Team Trade, or if you wish to find out how you can become an investor in their latest project, then contact their investment line on (0042) 233 371 850.
Photo credit: PwC, CBInsights, Dyler, YsJournal, Medium, Elevennews, and Ajajan. Pexels
