Portfolio strategy in today’s market

Michael Sivy notes that analysts are basically split on the future of the US economy but leans toward the bullish view. He also feels that defensive stocks are overvalued.

In the end he advises investors to hold on to their defensive stocks and to add to their positions in growth stocks and inflation hedges (not REITs though) while slowly diminishing holdings in energy stocks (he sees declining oil prices sometime in the future).

In all, the advice is sound if a bit general. Perhaps most interesting is this: “The best inflation hedges appear to be producers of industrial metals and materials, such as aluminum and copper.”

One Response to “Portfolio strategy in today’s market”

  1. Roberto says:

    I have a feeling these oil stocks are about to pullback once this hurricane is over. They look toppy as hell to me.