The reckoning situation developed by covid-19 resulted in a misbalance in the world economy. This imbalance occurred after many years. On one hand, if covid caused large-scale destruction to the manufacturing industries on the other, it brought numerous opportunities to sectors like IT, FMCG, Pharmaceutical industry, live streaming platforms.
The investor’s reaction in the covid times has been positive for some industries and it gave them a chance to make profits, the investors in these industries were retail investors, mutual funds, and buying back of shares for further expansion of the company. The globe is going virtual and the technology upgrades are reaching new heights. The investors like Satya Nadella, Bradford L., and Jean-Philippe have invested money worth millions in Various IT industries. The consumption will be autonomous even when there is no income, well this became the opportunity for FMCG companies like HUL, ITC, and Nestle India to grow more and more. The pharmaceutical industry has a very high growth area. This sector is the backbone of the nation as the drive for vaccination is growing at a tremendous rate… When nationwide lockdown happened, it caused to shut down of shops and businesses, there was a leakage of money flow in the whole banking system, how people reacted to it was in the form of savings.
Investors look for opportunities for investment in undervalued securities, when markets hit low you should buy the stocks because the stock gives you the price and room to make profits, and when stock markets hit highs, shares should be sold because the profits have been made and capital should be invested somewhere again in the undervalued securities.