China, America and… Europe? The Classic Continent has much to Offer Investors

Often, members of the financial community talk about “the stock market” and mean Wall Street. However, there are numerous other stock exchanges around the world, many of which hold just as much, if not more, investment potential. One such market is Europe.

European companies’ investment opportunities are abundant, and over the years, investors who knew where to invest achieved just as much success with them as they did with markets in the US, Asia and the rest of the world.

Europe in Focus

There are quite a few blockbuster names in European markets, including automotive giants such as Volkswagen, aerospace powerhouses such as Airbus, energy conglomerates such as BP and many others. And yet, sometimes the lesser-known companies are those that end up being chosen by investors due to their growth potential, overall stability or other reasons.

During times of economic downturns, companies in the utilities, telecom and consumer staples sectors have historically outperformed other sectors. Below you will find a few European companies that operate in those sectors and may serve as investment opportunities.

Enel Group

Founded in Italy by the government in the early 1960s, Enel is a major player in the European energy market. It is a producer and distributor of electricity, and also a leader in renewable energy research. The company is massive, boasting a market cap of more than $70 billion. Enel went public on the Milan Stock Exchange in 1992 and is a component of the FTSE MIB index. Despite being publicly owned, the Italian government still holds the majority stake in the company, with more than 23% of its shares.

Explore Enel
AFSL 4911639. Your capital is at risk. 

Ocado Group

The self-described “world’s largest dedicated online grocery retailer,” Ocado is at the forefront of both the eCommerce and FoodTech industries. Founded at the turn of the millennium, Ocado has always had the vision of combining “old school” grocery shopping with innovative technology. Ten years later, the company went public on the London Stock Exchange and is part of the FTSE100 index. Today, the company operates in the UK and Japan.

Explore Ocado
AFSL 4911639. Your capital is at risk. 

Rolls Royce

With its name synonymous with luxury, Rolls Royce exudes prestige and exclusivity. Over the brand’s more than a hundred years of history, it has been part of everything from the automotive sector to the British war machine during both World Wars. Despite changing hands and ownership several times until reaching today’s status as a wholly-owned BMW subsidiary, Rolls Royce continues to be a world-famous manufacturer of high-end automobiles. The company is listed on the London Stock Exchange and has a market cap of more than $7 billion.

Explore Rolls Royce
AFSL 4911639. Your capital is at risk.

RWE

Another player in the European energy industry, RWE is one of Germany’s largest suppliers of electricity and gas. With more than 30 million customers around the world and various subsidiaries, the company is true to the spirit of German industry, leaning on more than 120 years of history. The company is listed on the Frankfurt Stock Exchange, has a market cap of more than $18 billion, and is part of Germany’s most prominent index, the DAX.

Explore RWE
AFSL 4911639. Your capital is at risk.

Vivendi

While the name Vivendi might not ring a bell, you may be familiar with one of the many media outlets it owns, such as Canal+, Gameloft or Dailymotion. Originally founded by decree of Napoleon III in the 19th century, Vivendi underwent various transformations before becoming the media conglomerate it is today. The Vivendi Group spans many areas of the media, including music, television, film, video games, book publishing, telecommunications, tickets and video hosting services. With a market cap of more than $25 billion, Vivendi is traded on Euronext Paris and is part of France’s leading index, the CAC.

Explore Vivendi
AFSL 4911639. Your capital is at risk.

 

The European X Factor

When thinking of global superpowers, the debate often jumps between the US, China and Russia. However, some countries in Europe, such as France, Germany, Italy, and the UK play a pivotal role in the global economy and the companies that operate in the continent often attract the attention of investors.

 

This is a marketing communication and should not be taken as investment advice, personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation, and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared utilising publicly-available information.

eToro AUS Capital Pty Ltd, ABN 66 612 791 803 AFSL 491139. CFDs are highly leveraged and risky, and may not be suitable for all investors. You may lose more than your initial investment. Trading CFDs does not result in ownership of the underlying assets. You should obtain independent advice and refer to our FSG and PDS before deciding whether to trade with us.