How to Invest in the Space Economy | The 7investing Podcast

<p> </p> <p>Things are really up in the air for the stock market. And we mean that in the most literal way possible.</p> <p>Morgan Stanley predicts the Space Economy will be worth more than $1 trillion dollars by 2040. Merrill Lynch is even more optimistic, thinking it will reach $2.7 trillion by 2045.</p> <p>Whatever actual number is eventually reveal, the key point is that it will likely involve a &quot;t&quot; in its order of magnitude. The space economy will soon become one of the largest and most important new markets that develops in our lifetime.</p> <p>Once reserved for well-funded government missions, satellites in orbit now enable regional television broadcasting, the GPS used for Smartphone apps, pinpoint imagery used for logistics and government surveillance, and high-speed internet provided for locations.</p> <p>Each of those opportunities will require an entire subsector as well. Launch providers like <strong>SpaceX</strong> and <strong>Rocket Lab</strong> will be needed to place the satellites into orbit. Cloud providers like <strong>Amazon</strong> Web Services and <strong>Google</strong> will store and compute all of the data they collect. Support providers like <strong>Redshift</strong> will keep the satellites operational and in good condition.</p> <p>And with the FCC working through a backlog of nearly 40,000 new satellite spectrum applications, the million dollar question becomes <em>how should we invest in the space economy</em>?</p> <p>Three of our 7investing advisors tackled that question in an exclusive conversation. Simon Erickson, Luke Hallard, and Steve Symington together hosted a livestream discussion last month, sharing insights, key themes, and plenty of space-related puns.</p> <p>They first talked about defense contractors, such as how companies like <strong>Lockheed Martin</strong> were embracing collaborations and partnerships to support complex, billion-dollar government contracts. They then set their sights on launch providers, whose reusable rockets are drivign down costs and