Investment strategy according to business cycle

Do you know what kind of investment strategy is the most appropriate accordingly to business cycle ? For example : In period of Recovery, there are Commodities and cyclical. What would be during early expansion, late expansion, recession???

early expansion: stock & real estate late expansion: bonds and interest-rate sensitive stocks recession: bonds and interest-rate sensitive stocks

recession: CDO :slight_smile:

CDo? please remind me again?

Collateral debt obligation - in recession, invest in these debt obligations - you’ll get SUBPRIME!!! stay the hell away.

Collateralized debt obligation… however I was joking… this are the structured product who made the current market crush!

oh that CDO, I thought it was an acronym for some sort of investment that was in the CFAI books and not schweser lol strange you prankster!

getterdone Wrote: ------------------------------------------------------- > oh that CDO, I thought it was an acronym for some > sort of investment that was in the CFAI books and > not schweser lol > > strange you prankster! Sorry if I got you pissed off! I didnt want to!

lol im kidding man its all in good fun

somewhere along all this studying we need to joke around, sometimes the tension in this forum can be cut with a knife!

getterdone Wrote: ------------------------------------------------------- > somewhere along all this studying we need to joke > around, sometimes the tension in this forum can be > cut with a knife! Yep I agree!

This made me LOL you all, sitting her at my sell side bond desk.

where in the CFA book is this? i can’t find it! :frowning: