4 Ways to Beat the Stock Market in 2015

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The almost six-year long bull market may be waning, as many on Wall Street predict stocks will fizzle in 2015. While the Goldman Sachs Global and Regional GDP Forecast for 2015 predicts the U.S. economy will grow by 3.1%, many analysts project modest single-digit returns for the S&P 500. Consider these ways to boost your returns in 2015.

1. Emerging Markets

Emerging markets are rewarding for international investors who are able to recognize the tremendous growth potential of developing nations. While many emerging markets have experienced something of a slowdown recently, they are nonetheless projected to grow two to three times faster than the U.S. over the next several years. But investing in foreign markets means putting some extra time and effort into doing your due diligence. Not all emerging markets are the same, and investing in them usually carries significant risk.

The easiest and most convenient way to invest in emerging markets is through exchange-traded funds (ETFs) and mutual funds. (Check out ETF Database's list of the top 10 emerging market ETFs.) ETFs and mutual funds are also cost-efficient and can be lower-risk than many other emerging market investments.

2. Forex

Many major currencies have experienced significant fluctuations in recent months — the dramatic, overnight appreciation of the Swiss Franc in January is just the most sensational example. Though less extreme, the recent depreciation of the Euro vs the U.S. dollar is yet another instance in which astute forex traders were able to make a killing.

Investors who trade currency are speculating against its future value and are attempting to take advantage of market fluctuations. But investing in the Forex market makes basic knowledge of currencies and economics a must. If you're interested in currency trading, Forex.com offers an easy to follow beginners video library and practice account to help you get started.

3. Commodities

Trading commodities is another great way to target your investments. Sure, many commodities (such as oil, of course) are having a down year, but that doesn't mean that you can't make money off of them. If you believe oil or other commodities will rise again fairly soon, this may be a great time to buy on the cheap. Exposure to commodities such as gold, agriculture, coffee, wheat, and oil can be easily had through ETFs and mutual funds or stocks of commodity mining or producing companies.

But what if you don't believe commodities will rise anytime soon? Well, you can still make money in the sector. Inverse ETFs enable you to bet that prices will decline

4. U.S. Stock Market

Yes, there are still opportunities to be had in domestic stocks. Cyclic economic factors can upset and disturb certain business sectors, even while others thrive. For example, the surge in oil production in the U.S. has driven down the cost per barrel. The trickle down effect is fewer petroleum imports, lower fuel prices, and a stronger U.S. dollar, which is expected to boost travel and all manner of domestic consumption.

It's projected that Americans will increase domestic and international travel this year by 7% according to the U.S. Travel Association. The increase in revenue for travel and tourism companies will result in higher earnings, which should, in turn, drive up these companies' stock prices. Identifying such windows of opportunity in the U.S. market requires doing your due diligence, but they do exist and profits can still be made in 2015.

How will you invest in 2015?

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