Around the world, lockdowns and quarantines are slowly lifting, but consumers and business activity remain fragile. We believe investors should play both offense and defense during this new “reopening” phase. On offense, the tech sector will likely remain a leader, but select high-yield and convertible bonds and cyclical sectors (parts of energy and financials) could also outperform. On defense, consider consumer staples and healthcare, which are well-positioned for a post-coronavirus world.

The coronavirus pandemic has disrupted the global economy, creating significant turmoil and uncertainty in markets. Many companies have withdrawn their guidance, unable to quantify the economic impact the coronavirus has caused amid closed stores and borders, travel restrictions, stay at home mandates, supply chain disruptions and demand destruction.

We highlight the core components of the $2.2 trillion CARES Act – the US government’s fiscal response to the coronavirus pandemic.