Swallow your fear and prepare for a ‘relief rally,’ says analyst, as Russia invasion in Ukraine sparks stock-market maelstrom
By Barbara Kollmeyer
“Since 1990, when fear and uncertainty has risen this high, the S&P 500 has averaged 18% returns in the following 12 months,” Cox said, noting that it also hasn’t led to drops of 10% or more in the following months.
The best strategy for investors to keep the fear in check and working for them is to be ready for all scenarios, said Cox, adding that eToro is helping customers develop barbell strategies, in which both high-and low-risk stocks are held to grab the good and bad times.
“We also see decent short-term opportunity in cheap cyclical stocks at the moment,” said the analyst.
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