Money Clinic podcast: Where to invest in 2023

The past 12 months have not been kind to investors — but could the going get rougher or smoother in the year ahead?

Rising inflation and interest rates have punished big US tech companies popular with new investors, and the UK economy is poised to tip into what’s predicted to be a long recession. If your portfolio is flashing red, you may well have regrets — but our podcast guests have a message for you.

Presenter Claer Barrett hears from three of the FT’s most experienced investment writers who pass on tips about how to handle volatility, what’s driving change in the markets and where the best opportunities could lie in the year ahead.

Rob Armstrong, the FT’s US financial correspondent and author of the Unhedged newsletter urges younger investors not be spooked by falling markets.

“When you pay lower prices today, your long term returns 10, 20 years down the road are going to be higher,” he says. “In the year to come, if you open the FT and see stocks are down another couple of per cent then let your heart sing with joy because that’s you getting richer in the future.”

Stuart Kirk, the FT’s new Skin in the Game columnist, reveals why he’s going to be targeting UK mid- and small-cap companies in 2023 — and tells us what he really thinks about ESG funds.

Rosie Carr, editor of Investors’ Chronicle, advises young investors to hold tight and to explore the benefits of dividend paying stocks and investment trusts as markets turn.

“Regardless of all the problems that we have at the moment, if you’re not in the market, you can’t reap the rewards — so take a long-term view,” she says. “Young investors have time on the side, and they can invest in really big exciting themes like technology, infrastructure and healthcare.”

To listen to the full episode, click on the link above, or search for Money Clinic wherever you get your podcasts.