Investors, CEOs and business leaders are presently thinking (and often worries) about the financial sector’s perspective in the coming year. Very often reality exceeds all expectations. It was completely unexpected that Venezuela’s stocks would make 285 per cent at the end of last year, though copped with country’s hyperinflation. Stocks in Jamaica’s delivered yield of 93% at the end of 2015: it was a good profit for those investors that could predict that…   

Below are some of the new trends featured in various social media, consultancy companies’ reviews and press, e.g. Lundgreen’s Capital consultancy, Cap Gemini’s accounts and Danish daily Jyllands-Posten’s business section.    

Financial markets: top trends for 2016

For example, Lundgreen’s Capital consultancy mentioned the following factors and trends.

= Emerging markets will attract investments; in particular those countries that are not strictly tight to import of resources though with strong national currencies.

= Reduced oils and other natural resources’ prices will negatively affect producing states while positively influencing importing countries.

= China, India and New Zealand will be the biggest stock markets in 2016: investors can rely on positive growth in China with an adequate (or even greater) growth in India. Organic growth in China, coped with exceeding private consumption will still instigate investors’ interest.

= Several new trends in economic development: shared economy, outsourcing of services and digitalization of development will be dominant factors while holding back inflation in the western world.   

= The following factors in the national sectoral economy around Europe: various technology development aspects; health care (in particular, for elderly) and gambling industry.

Besides, some political factors can influence the European financial sectors’ conditions, e.g. the UK’s referendum on EU’s membership to take place by the end of 2016. Before the event the pound and stock market will shrink slightly to go up if the UK will stay in the Union.  

New industrial revolution: main features

Several new trends in 2016 (some are prolongations of the previous years’ development) will influence the corporate existence.

= First trend. Already in 2015, one could see IoT’s phenomenon – Internet of things (IoT) - turning “things” into artificial intelligence. Digital algorithms have been already installed in numerous electric appliances, e.g. fridges, industrial elements and calculators. Researchers from Oxford University predicted that various robots will cover about half of industrial jobs will be taken by robots. That’s one of the prospective signs in the new industrial revolution... 

Most visible artificial intelligence could be seen in education and training, e.g. in a specific “university”. Since its inception in 2008, Singularity University (SU) has empowered individuals from more than 85 countries to apply exponentially growing technologies, such as biotechnology and neuroscience, as well as addressing vital human challenges: education, energy, environment, food, water, health, poverty, security and space exploration. In just six years, SU’ alumni, partners and members have generated more than 100 startups, and numerous patents and ideas to help advance the “mission”, i.e. inspire business to projects using new technologies for the consumers’ satisfaction. See http://singularityu.org/overview/. 

= Second trend. An important part of present corporate development is so-called “virtual reality” (VR) issues. VR is an artificial environment created by software programs and presented to the user in such a way that the user accepts it as a real environment. On a computer, virtual reality is presented mainly through two senses: sight and sound.

Virtual reality can be divided into: a) simulation of a real environment for training and education, and b) development of an imagined environment for a game or interactive activity.

See http://whatis.techtarget.com/definition/virtual-reality. 

VR’s concept is based on using computer technology to create a simulated, three-dimensional world that a user can manipulate and explore while feeling being “personally present”. Scientists, theorists and engineers have designed dozens of devices and applications to achieve this goal. Opinions differ on what exactly constitutes a true VR experience, but in general it should include: a) three-dimensional images that appear to be life-sized from the perspective of the user; b) the ability to track a user's motions, particula­rly his head and eye movements, and correspondingly adjust the images on the user's display to reflect the change in perspective (through, for example a VR-headset).

See: http://electronics.howstuffworks.com/gadgets/other-gadgets/virtual-reality.htm

= Third trend. Another “niche” in the prospective development is called value for money, as a “bridge” from national ideas and products/services to capture the global market. For most businesses “real value” is in creating “global products”, i.e. goods that are for global consumption. One of the “national-global” bridge’s blocks is internet, which will soon encompass about 5 billion people around the world. What a market! One has just to create a product and show it to the world…  

A sub-feature in this trend could be mentioned, e.g. e-trade, which has already embraced corporate activity; this trend will be just deeper and varied.    

= Fourth trend is social media technology, which has won already producers and consumer’s attention in the previous years. Facebook and other software techniques are becoming an integral part of present social and corporate environment.  

= However, finally, there are some worrying signals, e.g. there is a danger that disruption as a cause of globalization and rapid advance of technology could negatively affect business. Disruption is defined as a radical change in an industry and business strategy development, especially involving the introduction of a new product or service that creates a new market. Business community is not so quick to adapt to the new “things”, which could result stress and panic.