How to invest heading into an unpredictable US election, from a top Wall Street strategist - Business Insider

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A top Wall Street investment strategist breaks down how to invest heading into an unpredictable US election — and what to do if the outcome is contested

Two crossed lines that form an 'X'. It indicates a way to close an interaction, or dismiss a notification.Business Insider spoke with Sam Stovall, CFRA chief investment strategist, on how to invest during an unpredictable US election season.

Business Insider spoke with Sam Stovall, CFRA chief investment strategist, to discuss how investors should position their portfolios during this unpredictable election season. Instead, investors should stick with their strategy no matter who they think will win, or who actually ends up winning. CFRA is neutral on both stocks and bonds.

This model has failed only twice, during years when the US faced what Stovall calls "geopolitical disruptors" — the Vietnam War and the Iranian Hostage crisis. He said coronavirus could be the 2020 "disruptor" that explains why Trump may not win reelection, even if the S&P 500 price change is positive heading into the election.

"Look for those stocks that got away from you during the recent recouping of the prior bear market. And identify which ones you would like to own at lower prices," said the strategist. "Then, once they hit your target price, act upon it because you're never really going to be able to capture the ultimate bottom."

 

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