WF - Building Your Investment Portfolio Amid Coronavirus Uncertainty
Unprecedented events in the global economy have had a strange impact on the stock market even as indices have fully recovered from the COVID-19 shock, but performance has diverged wildly among industries. Uncertainty over the next year of public health and economic activity makes it impossible to know which types of stocks are likely to thrive or suffer, but investors still have to build a portfolio that works in any outcome. Here is how you can devise a portfolio that can withstand the turbulence of coronavirus.
Travel and hospitality companies have been severely hampered as people stay home and avoid crowds. Falling interest rates and concerns over loanee health have hit the financial sector. Real estate has been battered by concerns of shrinking demand for office space and the inability of tenants to meet lease obligations. The energy sector has also been crushed as oil prices fell due to feuds among major suppliers.
Image source: Getty Images.