GNOM - Themes For Defensive Positioning
With last recession ending over 10 years ago, investors are becoming more concerned for the inevitable "next one." While attempting to accurately time a recession can be a futile exercise, adequate preparation - through gaining knowledge of defensive or countercyclical investments and thoughtful portfolio construction - can help investors weather the eventual storm.
One misconception some investors hold is that high growth, disruptive themes are cyclical in nature and therefore at above-average risk should the economy falter. In this piece, we identify long-term themes that we believe could prove resilient during an economic downturn. But