There’s little argument that 2024 was an intriguing year for investors, with the general elections, interest rate reductions, geopolitical concerns, and most of all, technology advances all contributing to a robust year in the financial markets.
Although no two years are ever the same and past performance cannot guarantee future results, the ever-developing world of technology offers opportunities for savvy investors in 2025. Here are three robust sector trends we believe are worth keeping a keen eye on in the coming year. Within your own Wealth Management Road Map, you could consider these for your own portfolio, based upon your current diversification and objectives.
Artificial Intelligence (AI) and Automation
AI’s impact and applications are being realized across the spectrum of the economy, from healthcare and retail to content creation, supply chain management, and drug discovery. The Artificial Intelligence market is expected to grow to $247 million in 2025, a 32% increase over expectations for 2024.
AI is already disrupting many industries and revamping how products and services are created and delivered (even in financial services) and reshaping our economy at a rapid rate. The potential and impact of AI is vast and will likely change nearly every profession and industry over time in some manner.
You might consider investment options such as new technology exchange-traded funds (ETFs) for smaller portfolios or common stock of companies at the forefront of AI technology, such as AI-based GPU developers and manufacturers, for those with larger accounts.
HealthTech and Biotechnology
In a similar vein, biotech innovations and advances in healthcare technology continue to offer opportunities for investment in the medical field. From “precision medicine” to accelerated clinical trials, gene editing, and mobile health, this sector is expected to offer significant growth in 2025 and beyond. Broad healthcare ETFs, biotechnology ETFs, or specific biotech stocks of companies who are focused on the sub-sectors mentioned may be worthwhile, depending upon the size and scope of your portfolio.
Digital Assets and Blockchain Technology
While the financial media is overflowing with news about Bitcoin and other cryptocurrencies lately, we believe the underlying technology behind cryptocurrencies (blockchain) offers ample investment opportunities, due to its role in transparency and efficiency applications across a broader spectrum of the economy.
To take advantage of this sector’s potential growth, investors with smaller portfolios could consider ETFs that focus on blockchain technology. For larger portfolios, common stock companies who are integrating blockchain technologies within their businesses, or those who are directly developing the technology itself, might be considered. You may also evaluate whether direct investment in cryptocurrency is consistent with your investment objectives.
Balance Opportunity With Diversification and Your Goals
As I discuss here, you don’t have to outsmart the market to be a successful investor. Understanding your risk tolerance and life objectives, along with a long-term perspective and investment discipline, are key ingredients to financial and investment success. By careful and selective diversified sector allocation that balances growth with risk, we can work with you to craft a tailored strategy based upon your own unique goals, whether they are conservative, aggressive, or something in between.
At Premier Planning Group, we’re here to help you build a financial and investment plan that reflects your personal values and life vision. Together, we create a strong, long-term investment approach designed to handle the ups and downs of the market. Call our office at (443) 837-2520 or email my executive assistant, Talia Grover, at taliagrover@premierplanninggroup.com to set up a complimentary consultation.
About Brion
Brion Harris is the CEO, founder, and managing partner of Premier Planning Group, an independent financial firm specializing in working with pre-retirees and retirees, helping them create customized wealth preservation and retirement distribution strategies. With over 20 years of experience, Brion has developed deep knowledge and skill in helping his clients simplify their finances and find confidence in their financial future. Brion and the Premier Planning team are known for their unparalleled client service and their dedication building long-lasting relationships with their clients. As a result, Brion has been the recipient of the #1 Advisor Leadership Award* at Summit Brokerage Services for eight years running and has a reputation as one of the top retirement advisors in the business.
Brion is a proud 20-year resident of the Annapolis community, where he resides with his wife, Elizabeth, their three children, Addison, Jay, and Scarlett, and their two dogs, Pepper and Coco. When he’s not working, you can find him boating, skiing, traveling, and enjoying good food and music with his family. If you want to learn more about Brion, connect with him on LinkedIn.
*The #1 Advisor and Leadership Award is based on production data while at Summit Brokerage Services, Inc. Brion Harris received the award in 2014, 2015, 2016, 2017, 2018, 2019, 2020 and 2021. This award is not a guarantee of future investment success. This recognition should not be construed as an endorsement of the advisor by any client.
Exchange-traded funds and products are sold only by prospectus. Please consider the investment objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other information about the investment company, can be obtained from your financial professional at 443-837-2520. Be sure to read the prospectus carefully before deciding whether to invest.
Spot bitcoin ETFs are not a direct investment in bitcoin, but rather, an exchange-traded product that invests in bitcoin.
The Funds hold only bitcoin and cash and are not suitable for all investors. The Funds are not a diversified investment and, therefore, are expected to be more volatile than other investments, such as an investment in a more broadly diversified portfolio.
Investing involves a high degree of risk, including possible loss of principal. An investment in spot bitcoin ETFs is not suitable for all investors, may be deemed speculative, and is not intended as a complete investment program. An investment in bitcoin ETFs should be considered only by persons who can bear the risk of total loss associated with an investment.
An investment in the Fund is subject to market risk with respect to the digital asset markets. The trading price of the bitcoin held by the Fund may go up and down, sometimes rapidly or unpredictably. The value of the Fund's Shares relates directly to the value of bitcoins, which has been in the past, and may continue to be, highly volatile and subject to fluctuations due to a number of factors. Extreme volatility in the future, including substantial, sustained, or rapid declines in the trading prices of bitcoin, could have a material adverse effect on the value of the Shares and the Shares could lose all or substantially all of their value.
Investing in digital assets involves significant risks due to their extreme price volatility and the potential for loss, theft, or compromise of private keys.