Should I invest in VR?

Many times, economic trends can shift drastically due to reasons that even experts can’t explain. That’s mainly due to the fact that the many forces that surround us act in ways that we, as humans, can neither predict nor govern. These forces can influence mass markets, stocks and even a country’s economical state. So what does that mean for Virtual Reality, a market that, even though has grown drastically over the past ten years, is still in a juvenile state? Many say that VR is a dying market while others say that it will soon skyrocket off the charts. Both of these arguments could be true in the future, since they ARE presented with facts, as many of the brokers at Wall Street say: Nobody knows where the markets going to go!

So we’ll be covering some of the reasons why you would want to invest in both Virtual Reality hardware and software. Starting off, Growth, since Virtual Reality isn’t a mainstream financial market yet, investing in Virtual Reality companies directly isn’t a major risk, since it doesn’t require a major deposit to run. It is also new even now, which means there is much room to grow. Remember that tech giants like Apple, Microsoft & PayPal all started as garage products. Now we won’t give you false hopes that every other VR company will be a major success, but what we can tell is that there is a lot of potential in a market that is still primarily unexplored.

Virtual training for medical students.

Our second point signals towards diversification of one’s portfolio. Perhaps if you’re already invested in a major market, such as real estate, automobile or even basic software such as application houses and digital marketing, it would be better to diversify your portfolio into various segments, one of which can be virtual reality. Most businessmen and investors are reluctant to diversify portfolios because they don’t want to take on risk, but since risk is quite limited as of now for Virtual Reality, it is a viable option to choose. In case of a loss, which is a considerable reality in the world of finance, the hit won’t be quite as bad as investing in something from a mature market.

Economic trends suggest a drastic rise in the unit sales of VR devices – Source: UBS | WSJ.com

The third point leads towards the opportunities Virtual Reality is beginning to open. Now whether you’re invested in the medical field, or engineering or finance itself, Virtual Reality is slowly being incorporated within these fields itself. So gradually, it will become a part of these fields, maybe not a big chunk, but it will eventually be in mainstream use. Several firms in the United States alone have started using VR as a means to treat illnesses of mentally challenged patient, view schematics in a three dimensional view and even view three dimensional economical graphs. Universities have also provided VR tours of their campuses on their websites. With all these changes within various industries taking place, it seems as if VR is becoming a common part of our lives.

Reproduction of real estate images in VR.

If we follow the trends of major players such as Facebook, SONY and HTC, we’ll begin to understand the potential that VR has, and ever since these giants have invested in VR, it’s been a turning point towards a more positive reform. People trust these companies, and argue that “There’s obviously a reason why these companies have put so much in VR.” Trends change for the better once a “reputable” company invests in a certain entity. When smaller investors watch how the trend shift, they’ll automatically join the bandwagon. Point being, finding the right VR company will be difficult when all the investors are in the game, so it’s best to start early! Furthermore, before investing in VR without any idea what it holds. VR itself is quite diverse, not only does it have hardware specific companies, it also has software specific companies. as well as outsourced OEM producing companies. So before you invest, do your research…and strike while the iron is hot.

 

 

 

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