David Fingold's Top Picks: March 14, 2022
BNN Bloomberg
Top picks from David Fingold, vice president and senior portfolio manager, Dynamic Funds
David Fingold, vice president and senior portfolio manager, Dynamic Funds
FOCUS: U.S. and global stocks
MARKET OUTLOOK:
Given the recent volatility in equity and fixed income markets, we recommend investors approach markets with a focus on quality companies - that is, companies with a superior balance sheet, above-average profitability and consistent profitability.
Given the upward sloping yield curve, we believe the probability of recession is below average in the next twelve months. Central bankers intend to tighten financial conditions through interest rate increases and tapering/quantitative tightening.
We expect that should lead to high-quality securities outperforming low-quality securities. Pent-up demand exists in capital goods and financial institutions will benefit from higher interest rates.
