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COVID-19: Housebuilders - Three recovery plays reviewed

May 2020

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Hopes that some of the countries worst hit by COVID-19 in Europe are starting to pass a critical point has helped stocks begin to improve during the month. This might seem odd when we can still expect months of poor data, but the simple fact is that talk of reopening economies is now widespread and the data from Italy, Germany, Spain and even New York is providing hope that some countries have passed the peak and others are nearing it. To build on this promising theme, several vaccine candidates have also emerged so I enter this month with a sense of hope and enthusiasm.The four companies I included in my “COVID-19 transport shortlist” last month have moved ahead even though a viable vaccine has yet to emerge and airlin ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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