The Internet Of Things
By Kristin Hovencamp
5G, the fifth generation of cellular technology, will revolutionize how we interact with the digital world. The rollout of 5G wireless, video, and sensor networks will allow us to connect with anyone, anywhere, anytime.
To understand 5G, think of 2020 as a myopic look into the future. We accessed 4G for everything from working and learning remotely to virtual medicine, online shopping, video communications, and continuous entertainment. Over 5G networks, imagine increased data speed, reduced lag time, and improved wireless service flexibility, explains US News and World Reports contributor Rebecca Lake.
5G is the technology of the future, yet there are still a lot of unknowns. Many technical challenges must be met to make this vision a reality, hazards Andrea Goldsmith, author of Wireless Communications and dean of the School of Engineering and Applied Science at Princeton University.
The long-term growth theme of 5G poses investment opportunities across asset classes. The following are examples of equity sectors impacted by 5G.
A plethora of information technology companies is competing for the 5G market. The makers of fiber optics, artificial intelligence, driverless vehicles, new antenna and radio technologies, semiconductors, modems, and cellular networking are only the beginning.
The communication sector includes 5G leaders in, among other things, e-commerce, media, internet, and wireless providers.
The industrial sector will play an essential role in the growth of 5G due to increased demand for construction and engineering, capital goods, electronic systems and equipment, travel, and machinery.
The healthcare sector includes companies facilitating in the technology surrounding remote, real-time diagnosis and treatment of medical conditions and life-saving applications.
Real estate investment trusts (REIT) offer exposure to wireless communication towers, infrastructure, and real estate, critical to the rollout of 5G.
5th-generation technology has enormous potential to change the world. As with any new investment, it is essential to diversify portfolio exposure through securities and vehicles while weighing the risks with the rewards.
Kristin Hovencamp is an Investment Executive and Director of Business Development with HAZLETT WEALTH MANAGEMENT, LLC, which is independent of Raymond James and is not a registered broker/dealer. Investment advisory services are offered through Raymond James Financial Services Advisors, Inc. Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC. All investing involves risk, including the possible loss of principal amount invested. No investing strategy, including asset allocation, diversification, rebalancing or dollar cost averaging, can guarantee your objectives will be met. Rebalancing a non-retirement account could be a taxable event that may increase your tax liability. 675 Sun Valley Road, Suite J1 + J2 Ketchum, Idaho 83340 208.726.0605. HazlettWealthManagement.com
