The World Bank has warned that without a major course correction this decade will go wasted amid predictions of this half decade having the slowest observed GDP growth in 30 years. Governments have been urged to accelerate investment and strengthen fiscal policy frameworks to overcome economic challenges. While the risk of a global recession has been mitigated mainly due to the strength of the US economy, mounting geopolitical tensions, inflation, uncertainty about interest rate adjustments' timeframes and market volatility (J.P. Morgan Asset Management, 2024) pose near-term hazards for the world economy with global trade growth in 2024 expected to only half the pre-pandemic decade average (The World Bank, 2024).

Last year the US equity market outperformed other investments in a year-end rally, yet there are concerns this had led to overvalued stocks (Forbes Advisor, 2023; Morgan Stanley, 2024). While higher interest rates are expected to benefit longer-term bond investors with a nominal annualised return increase to 4.8%-5.8% over the next decade (Forbes Advisory, 2023) portfolio diversification via alternative investment allocation is advised.

So what trends should you look out for, and most importantly, what should you invest in in 2024?

Technology (software, hardware, AI, blockchain)
Pros - Continuous innovation and growth potential with increasing adoption of AI in businesses; AI's transformative role drives its selection with faster coding as a significant outcome.
Cons - Concerns about job impact, regulatory scrutiny and global supply chain challenges are considerations.

Healthcare (pharmaceuticals, healthcare providers, biotech, and digital health)
Pros - Advancements in personalised medicine and digital health; response to global health challenges, AI integration, and ageing population.
Cons - Regulatory changes and healthcare policy reforms impact the sector.

Industrials (manufacturing, machinery, aerospace, and defence)
Pros - Embracing Industry 4.0 technologies like IoT and AI; shift towards green manufacturing and sustainable practices.
Cons - Sensitive to economic cycles and global trade policies.

Agriculture (crop production, livestock, and raw materials)
Pros - Adapting to precision agriculture and biotechnology; resilient during economic fluctuations, essential for food security.
Cons - Climate change impact, sustainable farming practices, and plant-based trends.

Mining (extraction of valuable minerals for various industries)
Pros - Demand for minerals in green technologies; performance during economic cycles and global economic recovery contribute to attractiveness.
Cons - Focus on sustainable mining practices and environmental impact reduction (The Economist, 2023; Forbes, 2024)