not a problem. I prefer to pick individual stocks over funds, but I don’t feel the need to know everything about an industry to be able to invest in it, you just need to know enough to tell if it makes sense.
for example; food and beverage companies. in my case PepsiCo, for others maybe coca-cola or mcdonalds, dominoes or chipotle mexican grills etc. I know that certain brands are very popular and do really well, I also know that even when times get tough people still want to get their favourite brands over the majority of alternatives, even if the alternatives are cheaper. Pepsi has shown to be resistant to recessions as even when money gets tight, people will turn to their favourite snack or drink to relax with.
I also invest in Unilever despite all the recent bad press and stock behaviour because of their focus on a wide variety of brands of soaps and daily necessities etc. even when times get tough people wont stop bathing and keeping themselves hygienic, it just isn’t an option and so sales for Unilever products are likely to continue no matter what, even if at a reduce rate for a quarter or 2.
I invest in realty Income because they rent real estate to companies rather than families and you don’t see large company storefronts just up and close because of a recession, so Realty Income see a consist lease rate of 98% of their properties. they pay monthly so you can reinvest that portion of money just that little bit sooner than normal.
Perhaps you are rather well versed in your line of work and the industry it is in. so if you know how your work is going and you can look up just a few things related to that you may feel it is safe to invest in a fund that centres around your company and its services.
General news can also be a good indicator of things that are likely to see success in a couple years, such as renewable energy, green science and companies that research and develop better battery technology. perhaps even robotics companies as more factory lines become automated.
On the upside with funds you can see an averaged yearly return much higher than 1%, and really unless you pick awful choices that have no chance of improving, its hard not to get at least 3%. the aim is to beat the rate of inflation on top of making a bit of money so you aren’t losing value over time. if your investments cant match even the rate of inflation, then you are better off just spending the money on courses and things that can help you earn a better salary or improve your lifestyle in the immediate future so as to have more money to invest when you can beat inflation.