Long-Term Investment
In general, as long as the company in which you have invested is sound, your long-term investment strategy should reap dividends over the long haul. The key to solid investment strategy is to keep your long-term goal and growth in mind. Long term investors have the luxury of time, so they can withstand some market corrections, ups, and downs. As we come out of the recession, investors are feeling bullish in a number of areas, and market trends seem to echo these sentiments.
Consumer staples are a good bet for 2013. Recession or no recession, families will still need to wash their dishes, launder their clothes and clean their bathrooms. Companies like Proctor and Gamble, Colgate Palmolive, and Kimberly-Clark, provide households with the staples that make life easier. These companies consistently trade at or above 17 times over their earnings.
Beverage companies are making big inroads into consumers’ homes and wallets. Coca-Cola and Pepsi Co are branching out from soft drinks and are cornering the market on bottled water, enhanced (vitamin and flavored) waters, sparkling water, ready to drink teas and coffees and sports and energy drinks. These brands have been growing for more than 40 years, increasing both profitability and distribution.
There isn’t a more global brand than McDonalds. Found in 119 countries, McDonalds continues to provide consumers with old favorites, like the Big Mac and adapt to changing diets and needs. With the introduction of the dollar menu, McDonalds has positioned itself as responsive to tight economic times and budgets. By introducing fresh fruit and lower fat options on the menu, McDonalds has shown both consumers and investors that it understands the need to adapt. Market analysts are bullish on the golden arches’ ability to adapt to market conditions.
With healthcare reform looming, investors are betting that healthcare companies like Johnson and Johnson, Becton Dickinson, as well as other pharmaceutical companies will be the biggest winners. The move towards less aggressive, preventive medicine, put companies that work to diagnose, prevent, and monitor chronic conditions, in a good position moving into 2013. The breadth and depth of Johnson and Johnson’s offerings, everything from research and development, manufacturing, and sale of everything from prescription medicine to band aids, makes it an attractive option for investors. Analysts think you’ll feel sick if you don’t jump on these companies.
Retail stores like Wal-Mart and Walgreens continue expand the reach and influence both nationally and internationally. Both these companies have has years of growth and expansion and continue deliver yields of around 3%.
As always, investors should consider their own purchasing habits and trends. Items that find their way into their homes are always good investment choices. Discuss your investment strategy with your broker or financial advisor. There may be regional trends that fly under the national radar and make getting in on the ground floor an option. Good research and a solid investment strategy can help you find and invest in companies that will meet your long and short term needs.
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Are you looking for more information regarding long-term investment? Visit http://www.smart-investing-in-stocks.com/invite.html today for more information!
Author Bio: Are you looking for more information regarding long-term investment? Visit http://www.smart-investing-in-stocks.com/invite.html today for more information!
Category: Finances
Keywords: long-term investment