Experienced experts shared their investment tips with BeInCrypto readers, as well as talked about the pros and cons of buying various assets in the current environment. Let's figure out what to invest in in 2023.
How to choose what to invest in and what to look out for in 2023
StormGain crypto exchange expert Dmitry Noskov believes that the choice of an asset for investment should depend on how much profit an investor wants to receive and what risks he is willing to take on:
- Cryptocurrencies, in his opinion, are associated with the greatest risk.
- Shares of companies are less profitable, but more reliable instrument.
- Dmitry Noskov advises investing in precious metals only for those who are ready to make a profit in years to come.
By the spring of 2023, according to our interlocutor, cryptocurrencies may be in the spotlight. He believes that by the designated period one can expect some recovery in the global financial market.. Positive changes, our interlocutor is sure, can push coins that have fallen in price by that time to growth.
Dmitry Noskov also believes that against the backdrop of declining inflation and easing the policy of world rate regulators, there is a chance for the growth of shares of American companies, including Apple, Tesla and Microsoft.. Our interlocutor also sees the potential for rising fuel prices.
Currency, according to Dmitry Noskov – on the contrary, it can become cheaper. Our interlocutor drew attention to the lowering of the threshold for raising the Fed rate in December 2022. Changes, according to the expert, can weaken the dollar.
Fed rate schedule. Source: tradingeconomics.com
Our interlocutor advised to consider precious metals only to investors who are ready to wait for profits for several years.
What to invest in in 2023
Our interlocutors identified six categories for investment. We talk about the prospects and disadvantages of investing in each of the directions.
#1 Investing in Cryptocurrency
Pros of investing in cryptocurrency in 2023:
- Suitable for both short term and long term investment.
- Good risk to reward ratio.
- Wide range of assets.
Cons of investing in cryptocurrency in 2023:
- There is a risk of increased regulatory pressure.
- There is a risk of further market decline.
Trader, investor, project advisor Rus Galeev believes that the best option for 2023 is to hold funds in bitcoin, Toncoin, as well as stablecoins pegged to the dollar and gold. At the same time, our interlocutor is sure that investors underestimate the regulatory risks of the second cryptocurrency in terms of capitalization – Ethereum.
He explained his dislike for ETH by the excessive level of centralization of the coin against the background of its transition from an extremely energy-consuming PoW to a more environmentally friendly PoS algorithm in September 2022, as well as a smaller network growth potential compared to TON.. Among the risks of investing in cryptocurrencies, our interlocutor noted the possible tightening of regulatory pressure.
The current crypto investor, founder of Cryptemic Investments and the Cryptemic Academy Anton Yanushkevich believes that in 2023 it is worth paying attention to investments in cryptocurrencies with high capitalization rates. Among the interesting options, our interlocutor identified the following coins:
The mentioned cryptocurrencies, according to our interlocutor, are distinguished by good profitability and a moderate degree of risk.. Also, our interlocutor is sure, do not ignore Solana. Recall that against the backdrop of the collapse of the FTX crypto exchange, many members of the crypto community suggested that the project would not survive.
“I am convinced that cryptocurrencies are the assets with the most attractive potential reward to risk ratio.. Therefore, I prefer to invest in blockchain and crypto projects and avoid investing in stocks, precious metals and currencies. I draw the attention of especially novice investors to the fact that in the current market realities it is worth investing only in cryptocurrencies with large capitalization, carefully study them before investing, and be prepared for sharp local dumps and pumps,” summed up Anton Yanushkevich.
#2 Investment in real estate
Pros of investing in real estate in 2023:
- Proven reliability.
- Against the background of the crisis, you can buy real estate at low prices.
Cons of real estate investment in 2023:
- A large amount of funds is needed.
Deputy General Director of AKTIVO Konstantin Zemskov believes that in 2023 investors should look towards reliable instruments such as real estate and real estate closed mutual funds.
The cost of real estate in Moscow. Source: restate.ru
“In short, in almost all cases, the profitability of instruments is in question – the situation on the markets is now difficult, and so far we do not see the prerequisites for changes for the better in terms of stability,” our interlocutor noted, adding that restrictions on the foreign exchange market, low profitability of metals and the risks associated with buying cryptocurrencies make real estate one of the best investment choices in 2023.
#3 Investments in gold and other precious metals
Pros of investing in gold and other precious metals in 2023:
- Gold is a traditional asset to protect savings during times of crisis.
- Gold and other precious metals can be invested through stablecoins.
Cons of investing in gold and other precious metals in 2023:
- Low, in comparison with cryptocurrencies and stocks, profitability.
- Only suitable for long term investments.
According to Rus Galeev, gold and silver will help to escape from uncertainty in the markets. Our interlocutor noted that gold is traditionally a defensive asset during times of crisis.. At the same time, our interlocutor drew attention to the fact that it is possible to invest in precious metals using stablecoins.. An example of a stablecoin pegged to gold is PAX Gold (PAXG).
The head of the accounting consulting agency Simple Solutions, Vera Kallistratova, also believes that the best choice for investors in 2023 is gold.
“Against the background of instability in the global economy, experts expect a record price increase for this precious metal,” our interlocutor explained her choice.
#4 Investing in securities
Pros of investing in securities in 2023:
- Securities as an investment instrument look more stable than cryptocurrencies.
- There is upside potential for the stock market in 2023 amid easing pressure from regulators.
- Wide range of assets.
Cons of investing in securities in 2023:
- Low, in comparison with highly volatile cryptocurrencies, profitability.
- There are risks of continued decline in stocks if the theory that the securities market has not yet worked out the reaction to regulatory pressure in 2022 turns out to be correct.
Nikolay Zhuravlev, General Director of Business Planning Experts LLC, believes that in 2023 it is worth paying attention to hotel business bonds.
“These bonds can provide high yields (15-18% per annum) with a relatively low level of risk. Since 2021, when the pandemic has subsided and people have actively started planning vacations away from home, hospitality EBITDA has been growing at a high pace. For most hotels, growth remains at the level of 30-50% per year, and there are even cases of EBITDA doubling,” our interlocutor explained his point of view, adding that the hotel business is a beneficiary of foreign sanctions and the more restrictions, the better things are for hotels.
Nikolai Zhuravlev believes that the growth of hotel business turnover in the Russian Federation in the next few years will be supported by outstripping demand for their services, which means that the risk of default in the industry is extremely low.
The potential for buying shares and bonds was also noted by Vera Kallistratova. Such an approach, in her opinion, will not give a large profitability, but will help save money.. The expert advised to pay special attention to the shares of companies in the military-industrial complex and the energy sector.
According to Rus Galeev, market participants, on the contrary, should not rush to buy shares. He explained his point of view by the prospect of its further fall against the backdrop of a continuous increase in Fed rates.
“Most likely, the market will be in a severe depression for a long time, caused by massive unemployment, falling demand, a possible debt crisis and much more.. But at the end  of the year, a gradual awakening of the market and the beginning of growth is possible, ”said our interlocutor.
No. 5 Investments in currency
Advantages of investing in foreign currency in 2023:
- The right choice of currency will help save ruble savings from depreciation and preserve purchasing power.
Cons of investing in foreign currency in 2023:
- There is a risk of launching a “printing press”, which will lead to a depreciation of the currency.
- The dollar is at risk of weakening amid a slowdown in the Fed's rate hike.
Rus Galeev chooses dollars. At the same time, he noted that the “launch of the printing press” by the Fed could weaken the position of the US national currency.. Therefore, investors should “keep their finger on the pulse.”
Vera Kallistratova, in turn, advised to pay attention to the Chinese yuan and the Japanese yen. Both currencies, in her opinion, can help preserve the purchasing power of money.
#6 Invest in Web3 and the Metaverse
Pros of investing in Web3 and the Metaverse in 2023:
- Large selection of projects.
- The opportunity to earn on minimal investment against the backdrop of further market growth.
Cons of investing in Web3 and the Metaverse in 2023:
- High chance of getting scammed.
- High risks of death of young projects.
Current investment banker, CEO of MultiFamily Office JP Investment and wealth manager for large private clients Yulia Popova believes that in 2023 it is worth investing in Web3, including the metaverse market.
“Web3 will be the next important milestone in the evolution of the Internet,” our interlocutor noted, adding that this is a strategy for the next 5-10 years.
Experts BeInCrypto managed to talk to could not agree on what to invest in in 2023. Some prefer cryptocurrencies, others prefer real estate, and still others prefer stocks. At the same time, each of the options has both its advantages and disadvantages.
Cryptocurrencies are suitable for those whose investment strategy implies risks. For those who want to reduce risk and at the same time are ready to lose in profitability, securities are suitable. Gold and real estate can be a classic choice in times of crisis. Those wishing to make money on the development of technologies should pay attention to the market of web3-projects and metauniverses.
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