Three reasons why we should not sell our stock

According to many portfolio managers, investors need to adapt to the current environment instead of closing their positions, amid geopolitical worries and fears. With the SP500 rising by nearly 10 percent since the beginning of the year, some managers have begun to consider a possible market correction. However, Carol Pepper, Chief Executive Officer of Pepper International, believes shares have a fair amount of fundamental support to grow. According to Pepper, the probability of a rise over the next 5 to 6 years is quite high.

Assuming we are not going to go to war with North Korea, Pepper predicts a small sale followed by a rapid rise and highlights three main reasons: Companies have a lot of money to invest in their business; The country still has little pressure on the country's pay; The government has too high capital costs;

According to Pepper International, the best sectors will be technological and healthcare in the future and the financial sector will remain in the background. "That is why we have to make long-term investments that will work for years, and frankly, after the central bank's slackening of interest rates, I do not see the financial sector offering a good return." "added Carol Pepper.

Source: Bloomberg Pro Terminal

Jr Trader Petar Milanov

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