Can Investments in Global Trade Reduce Investing Risks? Yes.

Before making an investment in global trade, it is important that you understand what it is. Quite simply, global trade is the total amount of consumer goods being sold across the planet. So, how does an investor invest in this ever-expanding business? Well, the great news is that it is no longer an investment secret and it is actually very simple.

As international trading increases year after year (estimated to be 4.7 percent growth in 2014), the exchange of goods and services continues to flow through established entities like ports, shipping vessels, trains, trucks and various other cargo supplies. In order to participate in this international exchange, you must either own a shipping line, purchase shares in the railway industry, or find a way to purchase small assets that are used throughout the entire trade process; like shipping containers for example.

Many investors are unaware of the fact that they can buy and lease shipping containers for international businesses to employ (and pay for the service), allowing them to earn a steady profit while other people exchange goods. This is how investors can participate and contribute to global trade itself and earn steady returns while the world economy prospers.

According to the U.S. Chamber Of Commerce, over 97 percent of the 302,000 companies that export goods from the United States are small to medium sized businesses. This means that firms that do not have the necessary financial infrastructure to handle their own shipments of cargo, will increasingly seeking help from shipping lines. Although the exact global figures are not known, the fact that 97 percent of American export market utilizes some aspect of infrastructure and/or maritime assets to get their products from one area of the country to outside markets, should be a great indication that the demand for container shipping will remain well into the future. This long-term dependence upon the shipping industry and cargo containers, eliminates many of the risks and uncertainties that are associated with investing today.

The total value of goods exported from the United States totaled more than $2.3 trillion. When you consider that over 80 percent of the world’s purchasing power, 92 percent of economic growth and 95 percent of the world consumers live outside the United states, it is very appealing to consider investing in containers and the global trade of consumer goods.

Leave a Reply