Not a great environment for risk

The latest article from The AFR’s Lucy Dean ponders the likelihood of a global recession and what investor’s should consider doing in this climate.

Talaria Co-CIO Hugh Selby-Smith believes the burden of proof is on those who have a more positive outlook overthe next 18 to 24 months.

“The big [indicator] is that eight out of eight of the last recessions [were preceded by] the inversion of the yield curve, you’ve never not had a recession when inflation has gone over 5 per cent.”

The key for investors is to not try to pre-empt anything and to stay cool.

“I don’t think it’s a great environment to take risk, is my big picture,” he said.

Read the full piece here