have you noticed that Hamish Douglas has been very big on COVID variants I think going back almost to March 2020.
He is the chief investment officer and I think he has positioned his portfolios around such an event occurring.
If you look at the table you have MGOC which is Magellan's global fund and VGS is an etf based on the international index and it shows weightings to each sector.
clearly Hamish has gone underweight tech and overweight staples and utilities in other words he has gone defensive.
Now have noticed recently there is actually a new variant.
Omicron
the effects of omicron hasn't really had time to impact economic activity but it may well do.
allan Kohler was saying on the news the other night that if omicron is anything like Spanish flu we could see 30% of the population with the disease within months.
This may have a big impact on the economy and would you be better off in a defensive portfolio?
I'd think so and if so HD will be a great position to outperform all the other funds in the market and the whole index.
(20min delay)