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If you’ve ever procured investment advice from a professional in the field, you’ll know that there’s never a right answer to the question of “where should I invest my cash?”. Put simply, that is because there is no right answer. Some professionals invest in business start ups and succeed. Other investors put their capital into futures and earn high profits. From adding cash into your pension pot to buying a property, every last investment method has its upsides and downsides.
That is also true for niche industries. The upside of investing in a niche market is that it won’t be saturated. It could lead to a greater chunk of the profit pie if your investment turns out to be successful. However, the downside is that there’s much less market information available for those who invest in the niches. This can, and does, cause problems. This article will offer a guide to the best niche industries to invest in. It also offers some advice on which ones could turn out to be best for you.
Blockchain
In recent years, blockchain has become a highly-discussed and often-debated niche. It is easy to see why: with the price of Bitcoin once resting at a rate as high as around $20,000 US dollars per bitcoin by some counts, the potential to make cash is at least possible. However, blockchain still remains an investment niche, and that’s because it is much-discussed only within a small group of people. To the wider world, blockchain still means nothing. Plus, it is not invested to anywhere near the same mass market extent as common investment vehicles such as stock market tracker funds or Forex.
There’s also much more to blockchain funds than the most high profile investment opportunities, such as the major recognized coins. These include Bitcoin, Ethereum and others. In reality, there are many more promising uses and applications of blockchain than just speculation. So, looking for a “niche within a niche”, so to speak, could be a wise move. However, it’s important to consider acting quickly. Firms and governments around the world are ramping up their blockchain investment. China, for example, has written blockchain investment into its current five year plan. Thus, there’s a good chance things will spike in the coming years.
Space
In the not too distant past, space exploration was the exclusive job of state institutions such as NASA, which pursued the most famous space exploration goals. These goals include landing on the moon. But as space-oriented entrepreneurs including Dylan Taylor have shown, it’s now largely the domain of the private sector. This means investment is required.
There are all kinds of opportunities in this regard. In the age of hospitality, for example, the ultimate holiday is to get blasted into space. As a result, space tourism is becoming a popular industry. If you’re approaching the space industry without a scientific background, this sort of space sub-niche – where the science is important but peripheral rather than core – might be useful. For something more scientific, investing in research and development-heavy businesses in highly technical environments, like the manufacturing of space probe components, could be wise.
Real Estate
Taking the word “space” in a different sense, meanwhile, leads to consideration of the role of real estate in the niche industries framework. Real estate might not seem like a niche, especially given its ubiquity. Real estate, both domestic and commercial, is of course all around. Many professionals categorize it as one of the best investments in the USA. But as is the case with blockchain, the idea of a “niche within a niche” is one that many successful investors find themselves pursuing.
But what are the real estate niches? Perhaps one of the most popular emerging niche lies in the sharing economy, and its intersection with property. Sites have made it easier than ever for people to find holiday accommodation at a reasonable price, and as a result there is a large potential return to be made on buying up properties in popular tourist areas such as big cities or areas of outstanding beauty. Often, the thing that puts people off in this regard is the requirement it creates for people to maintain the properties, carry out changeovers, and so on – but with the rise in companies that offer a property management service, there’s no need to worry about even being in the same city as your investment property.
Investing in niche industries is not for the faint hearted, and there are many people who find themselves scared off it for that reason. But for a well-informed and courageous investor, this lack of supply of investment capital can be a godsend – and the niche industries can turn out to be a far better bet than any other. Before making the move into the niche industries, however, it’s wise to first get some specialist advice – and then base any decisions off that.
