Invest in businesses related to megatrends: asset management firm

Jitta Wealth Asset Management advised people to invest in businesses related to megatrends during a webinar titled “Trends: Driving the Future” organised by Krungthep Turakij on November 27.
Asset management CEO Trawut Luangsomboon pointed out that megatrends are changing economic and social structures in the long term, such as electric vehicles (EV), digital health, robotics and artificial intelligence.
He said 34 per cent of people are now involved in megatrends such as e-commerce and cloud computing.

He recommended investment in four trends that would continue to grow in the next ten years with expected returns of 20-30 per cent annually:

1. Cloud computing: the market value of this technology, which has disrupted the software business to facilitate data sharing, is US$371 billion (THB12.5 trillion), which is expected to hit $832 billion in five years. Asana and Bill.com are recommended for investment.

2. Fintech: the market value of this technology is $1 billion (THB33 billion) and is expected to reach $188 billion in three years, or 11.7 per cent annually, thanks to the growth of the payment business as many have used fintech amid the Covid-19 crisis. Adyen and Coinbase are recommended for investment.

3. Genomics: the market value of this technology, which will disrupt medical services with its high accuracy to improve people’s health, is expected to hit $72.13 billion (THB2.5 trillion) by 2030. Invitae and Moderna are recommended for investment.

4. Global clean energy: demand for this energy is expected to increase as its cost will be cheaper than current prices. Also, it has gained positive sentiment from the EV trend. Sunrun and XPeng are recommended for investment.
Trawut also advised investors to follow metaverse after Facebook announced a name change to Meta with a mission to encourage people to connect with the online world.
“Initially, the market value of metaverse is expected to reach $800 billion (THB27 trillion) with growth of 40 per cent annually. Hence, we advise investing in Meta and Nvidia,” he added.