What sorts of stocks will do well in the coming year? Right now, it's clear that the coronavirus pandemic is continuing. And that limits our visibility. If the health situation worsens, stay-at-home stocks and companies making coronavirus-related products may perform well in the months ahead. If the crisis eases, travel-related and entertainment stocks could start to climb.
In this environment, the best strategy is diversification -- and not just across industries. It's important to look at each individual company's business and how news and external factors may affect its performance in 2021. Here, I'll talk about three that, together, offer a solid way to manage risk in the new year.
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