How this portfolio manager taking profits and buying defensive stocks ahead of a recession

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Brianne Gardner of Raymond James is expecting a mild recession later this year or early next year

Money manager Brianne Gardner is investing a bit more defensively right now, given the market run-up so far this year and threats of a recession on the horizon.

She believes a mild recession is coming later this year or early in 2024 and, as a result, is investing in more defensive sectors such as consumer staples, health care, big pharma and, more recently, gold. “We’re being more tactical with our cash, taking profits and then using that capital to pick up some stocks that maybe have sold off or that we see better valuations,” she says.

The Globe and Mail recently spoke with Ms. Gardner about her investing style and what she’s been buying and selling.We are value-based active managers. We’ll hold positions longer term if they’re still performing well, but we’re also comfortable taking profits or cutting our losses if we feel there are better opportunities. Our goal is to capture upside potential while also limiting downside risk.

 

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