Here's how investors can stay afloat as Singapore sinks into recession

Smart decisions now could pay large dividends.

Almost all metrics are pointing towards a technical recession, given the recent weak data points such as industrial production and non-oil domestic exports. However, even recessions are not unsurmountable.

According to analysts from UOB Kay Hian, investors looking to navigate current uncertainties should consider looking into investment themes such as resilient yield in low growth environment, favourable risk-reward stocks, M&As, and quality franchise stocks at compelling valuations.

Meanwhile, UOB Kay Hian also listed recession outperformers, including healthcare, shipyards, plantation and supply chains.

“The healthcare sector was a consistent outperformer during recessionary times, which is not surprising given its defensive qualities and in the case of Raffles Medical, its strong financials. Shipyards, plantation and the supply chain sectors are not domestic economy centric and would be more correlated to other global factors including commodity prices and orderbook wins (for the shipyard sector),” UOB Kay Hian said.