What to Discuss With Clients About Investing in Robotics and Automation
As robotics and automation become integrated into our lives, there has been a natural increase in interest to invest in these companies. According to a report by Tractica, the global robotics market was $31 billion in 2016 and will reach $237 billion by 2022. Demand for highly automated solutions should exceed GDP and corporate profit growth for years to come. We are just witnessing the beginning of its impact. When clients look for advisement on investing in this space, it’s not always a simple answer.
While the robotics and automation sectors may be considered technology investments, they are actually part of a much broader theme. The category is both complicated and crowded. Robotics companies can be found in multiple industries including machinery, electronic equipment, consumer goods, shipping/logistics, food & beverage, transportation and healthcare. Building a comfort level with investing in this sector, and offering investment advice, starts with a core understanding of the space.