4 Hot Sectors that Make Great Investments for the Future

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Investing always involves some level of speculation about the future. Investors examine the past results of a company to try and make a determination about its future growth. While some investors only do this for companies, other investors speculate about the sectors that will prove to be profitable in the future. Four sectors that are smart investments for the future include:
1. Green Energy
The United States has heavily relied on oil as its primary energy source for decades. The instability in the price of oil and the shortage of supply has helped to fuel the search for the next big energy source. Green energy attracts greater investment dollars because of the abundance of available resources, and the effects on the environment. Both the public and private sector are investing money in
green energy technologies
, as they see growth over the next few years. Investors looking for an area to invest in for the next few decades can buy clean energy ETFs, and energy stocks.
2. Technology
Information technology is one of the fastest growing
career fields
 in the United States. Laptop computer companies, smartphone companies, and chip production companies spend money on both human and physical capital. The technology sector has been a hotbed of investing activity since the 1980's. The reliance on computer software and hardware has only increased over the last 30 years. The need for technology continues to increase domestically and in developing countries. Right now, a lot of investment dollars are flowing into social media sites as well.
3. Natural Resources
The limited availability of natural resources makes them an attractive investment proposition.
Gold
,
silver
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, aluminum, and copper are finite resources that cannot be renewed once they are depleted. Savvy investors buy hard assets because of their usefulness and their scarcity. Natural resources become more valuable to investors during times of great fear, and during economic upswings. Investors run to natural resources when stock prices take a dip. As economies across the world continue to expand, the interest in stockpiling natural resources will continue to grow.
4. Emerging Economies
The past century has seen the U.S. and China grow their economies into major players on the world's stage. Investments in these countries made a lot of money for investors as growth exploded. Long-term investors should start to seek out the next world economies that can grow into big time players over the next 50 years. Many investors view the continent of Asia as a hotbed for future investment growth. Getting in early on developing economies can grow your investment principal, and gives you a realistic chance of building the fortune that you always wanted.
Final Thoughts
These are four areas that I believe are attractive for long-term investors. Each of the sectors has shown steady growth in recent years. Investors should choose targets carefully, and look for a mix of these high-growth investments as part of a long-term investment strategy. Are there any other areas that you believe will be smart investments for the future?
Mark Riddix works for an investment management company and contributes his insights and expertise with investing on Money Crashers, a personal finance blog covering topics like saving for retirement, building wealth, and choosing a stock broker (e.g. Scottrade Review). Mark writes a weekly column for Benzinga.
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