What assets are worth investing in during the third wave of the pandemic

Over the past month, there has been an active increase in the number of people affected by the coronavirus. WHO Director-General Tedros Adhanom Ghebreyesus notes that this situation indicates the beginning of the third wave of pandemics in the world. At the same time, the number of lethal cases in Russia has recently been almost 30 times higher than in other countries. According to experts, the current situation will have less of an impact on financial markets than the two previous waves. However, investors should pay careful attention to the composition of investment portfolios during this difficult period for the economy.

Companies’ expectations

More than 80% of companies plan to grow in 2021. Strategies of different organizations include conquering uncharted markets, expanding production, and launching new products. Most companies also have a plan in case the third wave of the coronavirus arrives. For example, more than 34% of organizations are going to build a financial safety cushion. Many companies plan to introduce COVID-19 testing, mask control, and mandatory vaccination of employees.

What assets should be included in the investment portfolio

With the third wave of COVID-19 coming, investors should pay attention to companies in the following sectors:

· Information technology (Zoom Technologies, Facebook, Microsoft, Mail.Ru, etc.)

· Online commerce (Ozon, Amazon, Yandex, etc.)

· Energy (Gazprom, Lukoil, Rosneft)

· Metallurgy (Nornickel, Severstal)

Experts consider it advisable to compile diversified investment portfolios in the second half of 2021. According to experts, while waiting for the active phase of the third wave of the pandemic, one should not experiment and bet only on one economic sector. A balanced portfolio should consist of value and growth stocks. The first category includes dividend-paying organizations and the second category includes companies from the online sector.

Conclusions

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