Given the current political scenario, many investors may be wondering whether it is worth continuing to invest in equity funds or whether it is better to wait for tempers to cool. In Chat with Specialist, weekly and live program of UOL, economist César Esperandio spoke about the impacts that the country’s troubled moment causes on the Stock Exchange and how this also reflects on stock funds.
Watch the program excerpt below, and understand what to do now. The Chat with Specialist is an exclusive investment queries for subscribers and is broadcast every Thursday at 3 pm.
Without investing, you are failing to earn
Esperandio said that, despite the turbulent political scenario, this crisis in the government did not cause great immediate effects on the stock market’s performance.
“It is not because the political scenario is bad that you should delay your investments. The political scenario in Brazil has always been bad and will hardly improve by magic,” declared he, who is also from the Econoweek channel.
For Esperandio, while you are not investing, you are failing to gain profitability on your investments.
“Shielded” investment portfolio
“Besides, you can diversify and build an investment portfolio ‘shielded’ against political crises. Obviously, it’s not a guarantee that your assets will not suffer volatility. How to shield? Diversifying in uncorrelated sectors and choosing good assets,” he said.
According to the economist, an actively managed equity fund manager seeks to make this selection, choosing shares of promising companies that will not necessarily turn bad because of political crises.
They may be impacted on their pricing, on the share’s face value, but business will not necessarily be shaken by a political crisis.
“From this perspective, sometimes crises can be good opportunities for you to buy at a discount those shares that became cheaper and that continue to be interesting for your asset portfolio diversification for the medium and long term. Never for the short term”, declared.
Specialist Chat is every Thursday
The program Chat with Specialist is broadcast on Thursdays, from 3:00 pm to 4:00 pm, on the investment pages of UOL, UOL Economia and UOL and is exclusive to subscribers. Review past programs here.
You can send questions to Papo by e-mail [email protected] —they can be answered in the program.
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