The Best ETFs for 2024: Analysis and Predictions from a Financial Expert”

The Best ETFs for 2024: Analysis and Predictions from a Financial Expert”

According to a report by www.aktienwelt360.de,
The stock market year 2023 is coming to an end and many investors are wondering whether the positive development of share prices will continue in 2024. An economic expert is optimistic and recommends three interesting ETFs for the new year.

Benefit from the rise of renewable energy with iShares Global Clean Energy

The increasing demand for renewable energy has led to the BDEW announcing that for the first time more than half of Germany's electricity consumption is covered by renewable energies. Due to this positive development, the iShares Global Clean Energy ETF is ideal. Although the price has fallen in recent years, possible overvaluation in the past suggests it could outperform in 2024. The long-term outlook remains positive and valuations are seen as moderate in many cases.

Bond ETF: iShares Core € Govt Bond UCITS ETF

The rise in interest rates has meant that the prices of European government bonds have not developed well. Nevertheless, this effect could be reversed in 2024 if the major central banks lower key interest rates again in the medium term. A “safe” effective interest rate of 2.76% for this ETF is already not far from the current inflation rate.

Bet on US small caps: iShares Russell 2000 ETF

In 2023, the big tech giants dominated the stock market. But a look at the Russell 2000 shows that the price performance in 2023 was not that extraordinary if you exclude the big players. The year 2024 could be the year of small caps and investing in the iShares Russell 2000 ETF could bring returns in 2024.

The economist gives optimistic assessments of these three interesting ETFs and sees potential for positive development in 2024. However, it remains to be noted that the forecasts are based on historical data and should not be viewed as a guarantee of future results.