Finding high-quality companies is an essential component of many equity strategies. But with revolutionary forces sweeping through key industries, what really defines quality stocks? Investors must think proactively about how to identify quality in a changing world.
Equity investors appear to have voted in favor of US tax reform. But the optimism may need to be tempered. We believe that the impact of the tax overhaul on individual stocks will be mixed and will depend on several factors.
Investors today are questioning whether equities are too pricey. We think it’s important to look at valuations from both a relative and absolute perspective, while keeping an eye on what’s motivating the Fed’s rate moves.
Amazon.com has shaken up US retailers and manufacturers, a trend amplified by the recent purchase of Whole Foods Market. But despite Amazon’s dominance, investors can still find resilient businesses in a vast sector.
Healthcare continues to generate political controversy. So should investors stay away? Absolutely not. What’s important is to target companies that are positioned to deliver long-term growth no matter what happens to the US healthcare system.
Details of Donald Trump’s economic agenda remain an enigma. Yet there are already enough clues to help investors target companies that should do well in an era of unpredictable policies from the incoming president.