2021 will be a year of continued uncertainty. Many risks exist to economic vitality and social stability besides COVID that investors should be aware of. Here are some trends to keep your eye on moving forward.

1. The vaccination “corona”-coaster continues. Once the vaccine is readily available, who gets it, who doesn’t, and will it be mandatory in some industries? Continued distrust between countries, counties, and communities over proper COVID protocols.

2. Another tech-“celeration” is on the way. Zoom has enabled lifestyle changes unimagined a year ago like remote work and learning. Online ordering for groceries and restaurant fare have accelerated, and curbside pickup is now de rigueur. Socialization trends are changing due to isolation and quarantine; we are now more connected thru tech than ever. New platforms and new ways of doing business will continue to emerge.

3. A patchy pandemic recovery. Even in down times there are opportunities, but federal and state stimulus keeping businesses and industries on life support won’t last forever. Outbreaks and lockdowns will continue. Many companies will eventually be forced to close, putting more folks out of jobs and on un-employment.

4. The importance of “the pivot.” Individuals and businesses must be nimble and quick to embrace trends and accept new ideas, products, and services that have value in today’s uncertain economy and volatile economic environment.

5. International tensions and trade wars. How will our new President deal with the Paris Climate Agreement and the Iran Nuclear Deal as well as the trade war with China. Can we mend damaged relationships with our allies?

6. Shrinking tourism and business travel. The hospitality industry will continue to struggle as the healthcare industry. As folks spend more time staying at home, working from home, schooling from home, the silver lining is money spent on home improvement and real estate sales.

7. Rainchecks abound. Whether sports events, charity galas, weddings, birthday celebrations, or that trip of a lifetime around the world, there is pent up demand that will explode at one time or another in the future. As that pent-up demand is unleashed, look for “revenge shopping” as a phenomenon.

8. Increased regulation in the markets. Recent events on Wall Street (see our article on GameStop HERE) involving short selling and “the squeeze,” have left a “scorched earth” scenario that has to be addressed, eventually.

9. Innovation on a grand scale. Because things have already changed so much, the disruption will inspire entrepreneurs to create new products, new services, and new supply chains. The scientific community will become more aggressive in areas of artificial intelligence, bio-pharma, life sciences, etc.

10. Availability of private capital. McKinsey reports that private equity firms are sitting on almost $1.5 Trillion of unallocated capital that is ready to be invested in new opportunities.

 

Reach Out To Us: Some things have changed maybe forever? Maybe for the better? Others not so much. Whatever the future holds in store, be prepared, and be proactive. Let us help you improve your options as you navigate the risks and opportunities ahead in the New Year. Feel free to contact me, Cory Lyon, directly at 561-209-1120, with any questions regarding customized financial investment strategies. It is never too early or too late to reexamine an established portfolio in light of changing trends and future needs. At TFG Financial, our goal is to assist you in making informed decisions. We believe in personalized asset management, and I act as a fiduciary for all my clients.

TFG Financial Advisors, LLC is a registered investment advisor. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any securities, and past performance is not indicative of future results. Investments involve risk and are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed here.