Buying the Dip

We all know this virus problem will not be a problem forever. One day it will pass and the stock market will recover.

When that happens, it will be the best opportunity to profit you have had in the last 12 years.

But what is the best way to profit? How can you maximise your gains?

This fall isn’t the first we have seen. There have been many over the years and each time it happens the stocks that come back the fastest are in similar groups.

Today we are going to share a little secret with you and tell you how to find the best stocks to buy for the recovery.

We came across this piece of research from Bespoke Investments that does a good job of highlighting where you should go looking. They analysed different groups of stocks and which ones moved the most on Tuesday March 24th, the day the market put in its 10th best up day ever.

Basically this says you want shares with low share prices and low P/E ratios

So now you know where to look, all we need to do is decide when to buy

Disclaimer: Capital 19 Pty Ltd ABN 17 124 264 366 AFSL 441891 (‘Capital 19’) believes the information contained is reliable, however, no warranty is given as to its accuracy and persons relying on this information do so at their own risk. This communication is for general information only and was prepared for multiple distributions and does not take account of the specific investment objectives of individual recipients and it may not be appropriate in all circumstances. Persons relying on this information should do so considering their specific investment objectives and financial situations. Any person considering action based on this communication must seek individual advice relevant to their circumstances and investment objectives. Subject to any liability which cannot be excluded under the relevant laws. Any opinions or forecasts reflect the judgment and assumptions of Capital 19 and its representatives based on information at the date of publication and may later change without notice. Any projections contained in this presentation are estimates only and may not be realised in the future. The investment manager certifies that all the views expressed in this document accurately reflect their views about the companies and securities referred to in this document and that their remuneration is not directly or indirectly related to the views. Capital 19, its directors, representatives, employees or related parties may have an interest in any of the companies and securities in this document and may earn revenue from the sale or purchase of any financial product referred to in this document or any advice. Past performance is not a reliable indicator of future performance. Unauthorised use, copying, distribution, replication, posting, transmitting, publication, display, or reproduction in whole or in part of the information contained in this document is prohibited without obtaining prior written permission from Capital 19.