Citi Research updates Geoeconomic Risk Premium model to guide investors through escalating geopolitical uncertainties.

From Investing.com: 2024-08-25 06:01:02

Citi Research updates Geoeconomic Risk Premium model to guide investors through escalating geopolitical tensions and economic uncertainties. Analysts highlight increased focus on Middle East, Ukraine, US presidential election, and potential economic slowdown. Defensive sectors like Health Care and Consumer Staples prove resilient, while Utilities offer strong hedge against geopolitical risks. Switzerland emerges as safe haven, UK benefits from energy sector amid risks. Large-cap stocks outperform mid and small caps in volatile times. Investors advised to allocate to defensive sectors, diversify across less exposed countries like Switzerland and Japan, and monitor key economic indicators for strategic adjustments. Balancing Energy investments with defensive sectors can manage overall portfolio risk effectively.



Read more at Investing.com: This is how to hedge against higher geo-economic risks: Citi By Investing.com