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UBS Asset, Pictet Seek Out Inflation Safe Havens in Stocks

  • Companies with pricing power seen as best inflation hedge
  • Global fund managers are split on outlook for cyclical stocks
RF Markets Global
Photographer: MicroStockHub/iStockphoto

With the global inflation debate intensifying, equity investors are fine tuning their portfolios to guard against the impact of price pressures.

A preference for companies with the greatest pricing power is one approach adopted by investors from JPMorgan Asset Management to Pictet Wealth Management. While cyclical stocks remain in favor, fund managers are becoming more selective, as pockets of the economically-sensitive asset class may have run too far, too fast.