Stocks just had their worst first half of the year in more than 50 years. Even if past performance is indicative of future returns—to mangle the obligatory investment disclaimer—investors in mutual and exchange-traded funds can position their portfolios to take advantage of positive trends that are likely to unfold in the second half.
Now is the time to focus on funds that favor value versus growth stocks; shares of profitable small companies; and cyclical sectors, including financials, market strategists tell Barron’s. It is also worth looking at dividend-oriented stock funds.
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