Investment in IT: how to make money in a promising market?

 


Companies in the information technology sector in the rapid digitalization of the global economy seem to the participants of the stock market to be quite attractive for investments. This applies to both global American IT corporations and local players - European, Asian, Russian companies. Facts have proved that the industry is less susceptible to the economic crisis caused by the COVID-19 pandemic. Because of its relevance and flexibility, even many companies have become beneficiaries. 

Now the IT sector, after significant growth, seems too expensive. In 2021, the news background around many companies alarms the players. Thus, in July, the finance ministers of the G20 countries supported the US initiative to introduce a global tax of at least 15% on the profits of large corporations. The innovations will affect such transnational giants as Google, Facebook, Amazon, and Apple.

Recently, US President Joe Biden accused Facebook and other social networks of insufficient efforts to combat vaccine disinformation. Experts believe that the next conflict will increase the pressure on corporations through antitrust laws and the attacks on IT giants will continue.

What are the near-term prospects for the IT sector? Is a significant drop in quotes possible? Which tech stocks are currently undervalued? What will trigger their growth? How to invest in these securities? What other instruments are there for investing in the sector?

 

 

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