Safe portfolio in bear market?
Is there any safe portfolio in the bear market?
The current bear market is mainly triggered by inflation. However the causes are complicated: Ukraine-Russian war, FED rate hike which may lead to recession, strong dollar, supply restriction due to COVID-19 lockdown etc.
I think the followings may be safe portfolio but you should do your own due diligence (dyodd) before investing:
>Government bonds because the government guarantees the repayment of the principal plus interest.
>Gold because it is a tangible asset as the value of gold is not affected by interest rates.
>Stable return cash funds with low return rate but still can help maintain the principal.
>Defensive Stock - stock that is resistant to all economic conditions such as share of companies that sell products related to utilities and consumer goods.
>Stock of companies benefited from the war, such as weapons companies, aircraft companies, etc. Share of companies that produce food, water, medicines, oil, energy will also surge.
Most importantly ensure you have 3-6 months of emergency fund 💰 and stay healthy mentally 🧘🏻♀️ and physically 🏃🏻♀️.
😎
The current bear market is mainly triggered by inflation. However the causes are complicated: Ukraine-Russian war, FED rate hike which may lead to recession, strong dollar, supply restriction due to COVID-19 lockdown etc.
I think the followings may be safe portfolio but you should do your own due diligence (dyodd) before investing:
>Government bonds because the government guarantees the repayment of the principal plus interest.
>Gold because it is a tangible asset as the value of gold is not affected by interest rates.
>Stable return cash funds with low return rate but still can help maintain the principal.
>Defensive Stock - stock that is resistant to all economic conditions such as share of companies that sell products related to utilities and consumer goods.
>Stock of companies benefited from the war, such as weapons companies, aircraft companies, etc. Share of companies that produce food, water, medicines, oil, energy will also surge.
Most importantly ensure you have 3-6 months of emergency fund 💰 and stay healthy mentally 🧘🏻♀️ and physically 🏃🏻♀️.
😎
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