Originally posted by V for Vendetta
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It is much harder to pick asset classes you might like coming out of this one than the last recession I think.
- Commercial property is problematic since rents are not being paid at worst and under pressure at best - structurally behavioural/societal changes look likely to undermine this asset class.
- Discretionary income-focused stocks seem in trouble and likely to stay that way for a while
- It's hard to like lots of technology names at current valuations.
- Inflation seems likely so it's hard to like cash or bonds in the long term at current valuations
- I'm not a fan of small scale residential property ownership and that's the only scale I can afford :-(
- It seems intuitively wrong to be thinking about investing in traditionally defensive sectors on the way out of a recession.
- There's probably a structural rise of China fall of the USA in progress but I don't know what the best way to invest in that trend might be.
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