You’ve heard the phrase “Follow the money.”<\/p>\n
I’ve got a new one for you…<\/p>\n
Follow the people.<\/em><\/p>\n That’s where the money’s going. Like iron to a magnet. Consumerism… demand… growth. Follow the people, and the money will follow you.<\/p>\n Let me throw a couple numbers at you…<\/p>\n 407: The number of emerging market “middleweight” cities with populations between 150,000 and 10 million<\/p>\n 40%: The amount these cities will contribute to global growth<\/p>\n By 2025, these 407 “middleweight” cities will contribute more to global growth than the developed world and global “mega cities” (with populations over 10 million) combined.<\/p>\n Over the next 12 years, 235 million households will earn more than $20,000 in the developing world. That’s up from 80 million in 2007. It means an extra $3.1 trillion worth of consumption will hit the markets in developing economies.<\/p>\n That’s how investors will make the truly big money in stocks over the next decade and beyond. They will follow the people…<\/strong><\/p>\n Populations in these “middleweight” cities are expected to grow 1.6 times faster than the global average. That means more workers and more consumer demand<\/strong><\/a>. Countries with the strongest urban GDP growth are going to be places companies are likely to set up shop.<\/p>\n Over the long term, the demographic shifts into a consuming society are going to keep the BRICs hot… and put other countries on the map you might not have considered hot spots.<\/p>\n Here’s what I want you to do. Take a look at your portfolio. Check out the big multinational companies you own. See how much exposure they have to these markets.<\/p>\n Many of them will be underexposed to the big demographic shifts we’re talking about. That means they’ll be counting on developed markets to grow revenues. Not a smart move over the long term.<\/p>\n If you’re underexposed to global economies with growing “middleweight cities<\/strong><\/a>,” one stock you should consider buying is Unilever PLC (UL:NYSE<\/a>)<\/strong>. This consumer goods, food and beverage maker has a major footprint in markets with growing consumer armies.<\/p>\n Unilever \u2013 which owns brands such as Ben & Jerry’s, Lipton and Dove among others \u2013 was setting up shop at the very start of the big surge in emerging market<\/strong><\/a> consumer growth. And even earlier than that in China, India, Indonesia and Brazil where the company has had a presence for half a century.<\/p>\n More than 2 billion people use a Unilever product every day. But there are about 1.8 billion people set to move up the consumer ladder and become consumers by 2020 \u2013 most of them in developing markets.<\/p>\n Unilever is already positioned in these “high traffic” regions of the world. And it is looking to expand into the next untouched markets such central Africa, Myanmar and Peru.<\/p>\n That makes it the perfect company to “follow the people”… and let the money come to you.<\/p>\n Happy investing,<\/p>\n Sara<\/p>\n Article brought to you by Inside Investing Daily. Republish without charge. Required: Author attribution, links back to original content or www.insideinvestingdaily.com<\/a>. Any investment contains risk. Please see our disclaimer<\/a>.<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":" You’ve heard the phrase “Follow the money.” I’ve got a new one for you… Follow the people. That’s where the money’s going. Like iron to a magnet. Consumerism… demand… growth. Follow the people, and the money will follow you. Let me throw a couple numbers at you… 407: The number of emerging market “middleweight” cities … <\/p>\nDisclaimer<\/span><\/span><\/span><\/h3>\n