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10 Trends for the 2020s
Hello everyone!
I am very excited to be a part of this platform and am very grateful to @mcd for all of the hard work he has put in developing this incredible platform. I have just started exploring all that Commonstock has to offer, and I am looking forward to being along for the ride as this platform grows.
A bit about my investing strategy: I am a young investor with a long-term, buy-and-hold outlook. I am looking for innovative, disruptive companies with mass appeal to younger generations and huge growth potential. Overall, my portfolio is molded around two main ideas, both taken from the great David Gardner:
  • "Make your portfolio reflect your best vision for the future." I invest in companies that I believe are pushing the world forward in a meaningful, inclusive, and sustainable fashion. When a company falls out of line with my best vision for the future, I put my money elsewhere.
  • "Find out where the world is going - and get there as soon as possible." Between my life experiences, reading, research, and conversations, I have attempted to continuously shape my understanding of where the world is going. As I find trends that I believe reflect the future of our society, I search for companies capitalizing on those trends and invest in those that I find to be exciting.
Those trends are the subject of this post. See below for my thoughts on ten exciting trends that I believe will come to define the 2020s, as well as some of my top investment ideas for each!
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1. E-Commerce - As society becomes more and more interconnected and focused on convenience, e-commerce is a trend that is poised to thrive. We have already seen the potential that e-commerce can have with $AMZN, but there is plenty of exciting potential elsewhere as well. Over the next decade, I expect e-commerce to thrive globally. Top Ideas: $AMZN, $SHOP, $MELI, $SE . . .
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2. Financial Technology - Young people are increasingly distrustful of banks and increasingly excited by technology-based companies that help manage and improve financial outcomes. At the same time, banks have historically left out significant portions of the population and have lost the faith of the people in countries across the world (Brazil, etc.). Some very exciting companies have emerged to fill this void, and I expect great results from them over the long-term. Top Ideas: $SQ, $PYPL, $MA, $STNE . . .
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3. Software-as-a-Service (SaaS) - Over the last few years, a plethora of high-growth, exciting software companies have emerged. These companies offer cutting-edge services that save others time and money, while making business operations faster, more efficient, and more valuable. All SaaS companies will definitely not be successful, but the best of them have huge runways for growth. Top Ideas: $CRWD, $DOCU, $DDOG, $TWLO . . .
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4. Advanced Technology - As society advances, people's technological needs become more specified and more advanced. While this shift has left some historical winners behind, it has accelerated the growth of a handful of exciting advanced tech. companies. Top Ideas: $NVDA, $AAPL, $GOOG, $MSFT . . .
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5. Clean Energy - With climate change as a prominent issue, society is making a massive shift towards clean energy sources. Alternative energy sources such as solar and nuclear power are gaining more and more traction, while electric vehicles are captivating drivers across the globe. This is a young, crowded space, but some leaders are certainly emerging in this high-growth industry. Top Ideas; $TSLA, $MP, $SEDG, $ENPH . . .
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6. Healthcare - The healthcare industry is outdated, inaccessible, and undesirable to patients throughout the world. Between costly insurance plans, outdated technologies, and absurd prices, there is plenty of room for disruption. In the last few years, dozens of thrilling companies have emerged to fill these voids, and offer promising returns to shareholders over the next decade. Top Ideas: $TDOC, $NNOX, $ISRG, $TMDX . . .
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7. Remote Lifestyle - Coupled with the interconnectivity that has been brought about by globalization, the COVID-19 pandemic has accelerated a societal shift to a more remote lifestyle. This does not necessarily mean work from home, but rather an overall trend in which people across the globe can access essential services, conduct international meetings, and hire global talent from the comfort of their own home. Not all pandemic winners will thrive over the next decade, but some certainly will. Top Ideas: $ZM, $FVRR, $PTON, $WORK . . .
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8. Real Estate - In the United States specifically, the real estate industry is outdated, inefficient, and complicated. In recent years, a couple of innovative companies have debuted compelling alternatives to the traditional real estate system. In such a large industry, these companies offer investors a unique opportunity to invest in high-growth, easily understandable companies with a massive TAM. Top Ideas: $RDFN, $Z, $IPOB . . .
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9. Genomic Revolution - Gene editing companies have burst onto the scene over the last few years, promising revolutionary cures to complicated diseases and a massive shift in global medicine. An investment in these companies is highly speculative, but there are some incredible companies with the potential for huge returns in this industry. Top Ideas: $ARKG, $NVTA, $CRSP, $EDIT . . .
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10. Online Gambling - Online gambling, and particularly sports gambling, is a quickly growing market in the U.S. and globally that offers potentially huge returns for investors. There are some regulatory hurdles to clear, but I believe that those hurdles will be cleared over the next decade and that some big winners will emerge in this industry. Top Ideas: $DKNG, $PENN . .
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Thank you so much for reading this post! I would love to hear anyone's thoughts or comments on these trends or additional companies/trends that you believe will thrive over the next decade. I will be posting more thoughts on this platform over time, and I also post additional ideas on my twitter @ztinvesting!

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