Invest
Could growth assets be key to investing in the next Apple?
Growth assets, like the Apple shares that astronomically propelled the wealth of its shareholders over a single six-year period, are foreshadowed to become more appealing to investors chasing greater bang for their buck, an expert has said.
Could growth assets be key to investing in the next Apple?
Growth assets, like the Apple shares that astronomically propelled the wealth of its shareholders over a single six-year period, are foreshadowed to become more appealing to investors chasing greater bang for their buck, an expert has said.
At a GSFM market outlook event, Munro Partners’ chief investment officer, Nick Griffin, discussed the possibility of finding the next Apple in the current low-yield environment, taking into consideration consecutive RBA rate cuts.
“We live in a world where stocks can go up thousands of per cent yet they can only fall 100,” he remarked.
“It’s asymmetrically in your favour to invest in stocks,” he considered, but noted the problem being that stocks are more likely to fall 100 than go up by 1,000.
As a result, Mr Griffin said, “we live in a game where there a very few winners and lots of losers”.
Lessons learned from Apple
The phenomenon of the global mobile phone market has shown the opportunities that can exist for investors in high-growth markets.
A prime example was when smartphones went from a 10 per cent share of the market to an 80 per cent share within six years. Lots of companies went broke trying to capture the growth while Apple succeeded.
According to Mr Griffin, software as a service (SaaS) or cloud computing could be one area where investors can achieve similar growth or losses comparable to the smartphone boom.
“I don’t know where the economy is going in the next 10 years. I don’t know where interest rates are going in the next 10 years. [But] I know that cloud computing is going from a 10 per cent share of all computing to around 40 to 50 per cent share,” Mr Griffin remarked.
“That is going to happen, in the same way that smartphones were going to be adopted,” he continued.
Other areas of interest
The chief investment officer said other areas of interest for high-growth investment include digital payments, global streaming, online retailers, robotic surgeries, aerospace and 5G.
This email address is being protected from spambots. You need JavaScript enabled to view it.
About the author
About the author
Stock market
Aussie market falls on US inflation
The Australian sharemarket has fallen on the bell after Wall Street experienced sharp sell-offs overnight due to hotter than expected inflation data. ...Read more
Stock market
Westpac 1H profits soar post-pandemic
Australia’s improving economic outlook has seen the profits of a big four bank surge, which is said to signal strong dividend gains across the market, an industry expert has revealed. ...Read more
Stock market
Limiting internet searches for investors ups likelihood of a stock market crash
Internet searching does not exacerbate investors’ biases – instead, it facilitates their ability to access and analyse information, new research has revealed. ...Read more
Stock market
Ethical investing tipped to drive ETF market
Following a volatile 2020 where investors poured into ETFs, shareholders are tipped to focus on ethical investing and technology as the recovery from the COVID-19 pandemic continues, an industry expe...Read more
Stock market
‘The concept of collective investing is here to stay’
The phenomenon of retail investors acting as a collective, led by social media and celebrity investors, is here to stay, says one expert. ...Read more
Stock market
What is short selling and should you do it?
Short selling stocks may sound like a good investment strategy when you’re after quick and big returns, but is it worth the risk? Here’s a rundown of why shorting stocks may not be a sound stock t...Read more
Stock market
How much insider trading really happens?
There are at least four times as many people who get away with insider trading than the number of those caught by prosecutors, new research has revealed. ...Read more
Stock market
Why you should be wary of the tech stock bandwagon
After a strong year of tech stock gains, tech shares have been on a decline in recent weeks as increasing bond yields rattle equity markets. ...Read more
Has the property market reached its peak; Biden’s climate summit and our sharemarket, and the upcoming budget
Listen now
Is the market overheating; should ETFs take your fancy, and what’s happening to the low and middle income tax offset?
Listen now
Home values up 30% (or are they); NFTs taking the world by storm, and why Keating thinks Aussies will be ‘poor’ in retirement
Listen now
Raging floods, the tech stock bubble and the ongoing SG debate
Listen now
Stock market
Aussie market falls on US inflation
The Australian sharemarket has fallen on the bell after Wall Street experienced sharp sell-offs overnight due to hotter than expected inflation data. ...Read more
Stock market
Westpac 1H profits soar post-pandemic
Australia’s improving economic outlook has seen the profits of a big four bank surge, which is said to signal strong dividend gains across the market, an industry expert has revealed. ...Read more
Stock market
Limiting internet searches for investors ups likelihood of a stock market crash
Internet searching does not exacerbate investors’ biases – instead, it facilitates their ability to access and analyse information, new research has revealed. ...Read more
Stock market
Ethical investing tipped to drive ETF market
Following a volatile 2020 where investors poured into ETFs, shareholders are tipped to focus on ethical investing and technology as the recovery from the COVID-19 pandemic continues, an industry expe...Read more
Stock market
‘The concept of collective investing is here to stay’
The phenomenon of retail investors acting as a collective, led by social media and celebrity investors, is here to stay, says one expert. ...Read more
Stock market
What is short selling and should you do it?
Short selling stocks may sound like a good investment strategy when you’re after quick and big returns, but is it worth the risk? Here’s a rundown of why shorting stocks may not be a sound stock t...Read more
Stock market
How much insider trading really happens?
There are at least four times as many people who get away with insider trading than the number of those caught by prosecutors, new research has revealed. ...Read more
Stock market
Why you should be wary of the tech stock bandwagon
After a strong year of tech stock gains, tech shares have been on a decline in recent weeks as increasing bond yields rattle equity markets. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
