It’s All About Understanding the Limitations in Nanotechnology Investing
Written by admin on Oct 1st, 2009 | Filed under: Investing
Ganesh asked:
When nanotechnology was first described, it was considered to be an over-hyped term straight out of a science fiction novel. But over the years, as technology advanced, microscopic machines and even factories became a reality and soon nanotechnology investing was the in thing for corporate ventures.
However, in the last few years, individual investors have realized that there is very little money to be made in nanotechnology investing. Even the existing firms have not performed according to expectations and newer IPO’s haven’t really flooded the market either.
The advances made by nanotechnology has been limited to improving the quality and lifetime of existing materials like batteries, cells etc. There have been very few breakthrough products in nanotechnology.
Whether to invest or not
Here is the big question. Do you invest in nanotechnology or not?
• There are many start up ventures out there that seem to be promising enough but most of these will take years to get established.
• Hence from an investor’s point of view, it is extremely important that you gauge the landscape.
• You need to be well aware of the time frame and the constraints in the filed.
• If you are expecting to invest in some of the nanotechnology products that seem sci fi, then keep in mind that most of these products are almost 100 years away.
• Unless you have an extremely broad time frame for investing, there are better options at hand
For the corporate investor
On the other hand, nanotechnology investing might just prove to be the right thing for corporate investors.
However, keep yourself updated about the recent advances made in the filed like the classification of nanotechnology into active, passive and hybrid groups. This will help investors get a better grip on the time frame required for commercialization of the technology.
When nanotechnology was first described, it was considered to be an over-hyped term straight out of a science fiction novel. But over the years, as technology advanced, microscopic machines and even factories became a reality and soon nanotechnology investing was the in thing for corporate ventures.
However, in the last few years, individual investors have realized that there is very little money to be made in nanotechnology investing. Even the existing firms have not performed according to expectations and newer IPO’s haven’t really flooded the market either.
The advances made by nanotechnology has been limited to improving the quality and lifetime of existing materials like batteries, cells etc. There have been very few breakthrough products in nanotechnology.
Whether to invest or not
Here is the big question. Do you invest in nanotechnology or not?
• There are many start up ventures out there that seem to be promising enough but most of these will take years to get established.
• Hence from an investor’s point of view, it is extremely important that you gauge the landscape.
• You need to be well aware of the time frame and the constraints in the filed.
• If you are expecting to invest in some of the nanotechnology products that seem sci fi, then keep in mind that most of these products are almost 100 years away.
• Unless you have an extremely broad time frame for investing, there are better options at hand
For the corporate investor
On the other hand, nanotechnology investing might just prove to be the right thing for corporate investors.
However, keep yourself updated about the recent advances made in the filed like the classification of nanotechnology into active, passive and hybrid groups. This will help investors get a better grip on the time frame required for commercialization of the technology.