**Prudent Investing Strategies for Uncertain Times**
As the market continues to experience unprecedented growth, seasoned investors are sounding the alarm, urging caution and a shift towards more conservative investment strategies. Howard Marks, co-chairman of Oaktree Capital, recently shared his insights with Richard Quest on “Markets Now,” emphasizing the importance of defense over offense in the current market landscape.
Marks, author of “Mastering the Market Cycle: Getting the Odds on Your Side,” advises investors to rebalance their portfolios by increasing their stake in stable utilities and decreasing their exposure to volatile tech stocks. This prudent approach is driven by concerns that the bull cycle may be nearing its end, and that a sudden shift in market conditions could result in significant losses.
The ongoing trade tensions with China further underscore the need for caution, as a deterioration in relations could have far-reaching consequences for the global economy. While Marks stops short of advocating for a complete exit from the market, he stresses the importance of diversifying one’s portfolio with more reliable stocks to mitigate potential risks.
Catch “Markets Now” live from the New York Stock Exchange every Wednesday at 12:45 p.m. ET, featuring expert analysis and commentary from CNNMoney’s business correspondents. Can’t watch live? Catch highlights online and subscribe to the Markets Now newsletter for daily updates.
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