Portfolio Considerations During Global Upheaval February 17, 2020 Investing Print https://www.adviserinvestments.com/wp-content/uploads/qw0120-global-stress-01.mp3 We often hear from clients who want to know how their hard-earned investment gains will withstand economic crises in the U.S. and around the world. EquityThe amount of money that would be returned to shareholders if a company’s assets were sold off and all its debt repaid. Research Analyst Kate Austin discussed this topic in our recent quarterly webinar*: 2020 Conflicts—Impeachment, Tariffs & Global Dysfunction. Please enjoy the excerpt below and click here for the full webinar replay to hear more. * * * * * Kate Austin: I like to say, when there’s stress in the stockA financial instrument giving the holder a proportion of the ownership and earnings of a company. market, think about what people are going to continue use no matter what. So consumer staples tend to be a good defensive sector. Think household goods: You’re still going to have to do your laundry, unfortunately. And health care is another one of these defensive sectors that we like, and utilities, because even if you’re sick, you’re still going to have to go to the doctor and no one’s turning their lights off all the time. Let’s be honest. Kate Austin: Even when times aren’t good, people still use gas, electricity, paper towels, things like that. So those are some good defensive sectors. But like I said before, the best thing to do is have a diversified portfolio. Each area of the market does not outperform or underperform consistently over a long investment period. So that’s why we tend to have a basket-like approach to all asset classes. Kate Austin: If you’re feeling a little bit nervous about your equityThe amount of money that would be returned to shareholders if a company’s assets were sold off and all its debt repaid. allocation, it would be a great time for you to talk to your financial adviser about changes you may want to make so you can sleep better at night. Because that’s really what we care about. Click here for a replay of 2020 Conflicts—Impeachment, Tariffs & Global Dysfunction. Please contact us at (800) 492-6868 to learn more about comprehensive wealth management solutions. *Webinar recorded after the market closed on January 23, 2020. Disclaimer: This material is distributed for informational purposes only. The investment ideas and opinions contained herein should not be viewed as recommendations or personal investment advice or considered an offer to buy or sell specific securities. Our statements and opinions are subject to change at any time, without notice and should be considered only as part of a diversified portfolio. Mutual funds and exchange-traded funds mentioned herein are not necessarily held in client portfolios. Data and statistics contained in this report are obtained from what we believe to be reliable sources; however, their accuracy, completeness or reliability cannot be guaranteed. You may request a free copy of the firm’s Form ADV Part 2A, which describes, among other items, risk factors, strategies, affiliations, services offered and fees charged. Past performance is not an indication of future returns. Tax, legal and insurance information contained herein is general in nature, is provided for informational purposes only, and should not be construed as legal or tax advice, or as advice on whether to buy or surrender any insurance products. Personalized tax advice and tax return preparation is available through a separate, written engagement agreement with Adviser Investments Tax Solutions. We do not provide legal advice, nor sell insurance products. Always consult a licensed attorney, tax professional, or licensed insurance professional regarding your specific legal or tax situation, or insurance needs. © 2020 Adviser Investments, LLC. All Rights Reserved.