In this video, we looked back at the year 2020 and how it has made a significant impact to everyone of us. COVID-19 had a major say in this year, as we lost many precious lives. Many businesses face several challenges, and some had to go out of the market, while some reported for bankruptcy. Though, it provided opportunities for new businesses and new ways of working.
Being virtually together is the new trend that 2020 has defined. 2020 changed the way how we live in our day-to-day routine and how we work and how children study. New ways of working, new ways of learning and social distancing have been the norm in this year. Not only this, the consumer behavior and purchasing patterns have changed. People have started preferring online shopping and this may remain the trend in the coming years as well.

Many companies avail several opportunities and expanded their customer base and sales. Amazon was one of them, as it benefited with the new norms. Similarly, as people were locked down at home, it resulted in higher users for Netflix. Companies like Apple continued its strong growth and it resulted in improving its share price despite of the lockdown. However, some companies reported for bankruptcy as well in this year, as the sales went down, and they run out of cash. Companies like Hertz were among one of them, despite being one of the top car rental companies, the company had to report for bankruptcy.

Several industries were severely impacted by COVID-19 and lockdown globally such as Oil and Gas industry, travel and tourism industry including airlines and airline manufacturers and cruise industry. Some of these companies have still not reached their pre-pandemic stock price level, and thus provides opportunities for investors.

We saw significant growth in the Electric Vehicle industry; as companies like Tesla, and Chinese EV players like Nio, Xpeng and Li Autos yielded multiple returns to the investors. With the increased focus of investors on EV industry, and increased production and delivery of vehicles, the industry is booming.

There were few lessons learnt as well during the year which could benefit us in the years to come. One of the most important ones is to invest in companies that are fundamentally strong. The other one is to have a diversified portfolio. Also, it is important to understand the products and services of the company before investing and you should invest only if you understand the products and services.

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Disclaimer: This video shares personal opinion and experience. While making investments decisions it is important to keep your financial objectives in mind and invest accordingly. Some of the information shared in the video are publicly available and we believe are reliable source of information. Also please note that stocks may go up and down and therefore while investing it is important to keep this in mind. Past performances can only be indicative and may not always define the future trend.