HomeFinancial MarketsExpert Recommends Investing in "Old-School Value Names" Amid S&P 500's Bear Market

Expert Recommends Investing in “Old-School Value Names” Amid S&P 500’s Bear Market

The S&P 500 officially entered the bear market early in the week after dropping 21 percent from its peak in January. This marked S&P 500’s first bear market since March 2020, when the COVID-19 pandemic started. As a result, many investors entered the state of sell-off, which curiously also marks the best time to start buying, according to experts.

Ryan Payne, the president of the financial planner Payne Capital Management, believes that this testing time for S&P 500 is a perfect opportunity to expand your portfolio. According to Payne, investing in “old-school value names” like AT&T, Citigroup, General Motors, and Verizon should be a priority, especially for those who are in it for the long run. 

“I think any of those old-school value names right now are great to have in your portfolio,” Payne told Yahoo Finance. “And don’t think twice here if you’re a long-term investor.”

The “long-term” distinction is particularly important here. The S&P 500 isn’t expected to recover anytime soon and might face even tougher challenges. However, the investment should pay off down the road.

“If you take the tech out of the S&P 500, you’re trading at 14 times forward earnings,” Payne adds. “That’s so cheap. That’s been as cheap as it’s been in years. I think you have a gift from the gods here as a long-term investor to buy.”

Activist Investor Elliott Management Won’t Pursue Changes on Salesforce’s Board

Improved results in the Q4 earnings report have allowed Salesforce to keep activist investor Elliott Management from pursuing changes on the company’s Board of...

First Citizens Bancshares Makes a Deal to Acquire Collapsed Silicon Valley Bank

The Federal Deposit Insurance Corporation (FDIC) has found a taker for the collapsed Silicon Valley Bank (SVB). On Monday, FDIC confirmed that North Carolina-based...

Banking Sector Stress Could Lead To Tighter Lending; ECB, Fed Officials Claim

Uncertainty across the banking sector is being closely monitored due to the potential for a credit crunch, a Federal Reserve official divulged on Monday....