Investing.com - For investors looking to limit or avoid exposure to a possible U.S. trade war with China, here's three investment plays.
Small-cap companies tend to derive most if not all of their revenue from domestic sales. They're also less likely to be
in the high-tech sector, which thrives on exports. Small-cap companies are also benefitting from the corporate tax cuts and
the continuing strength of the U.S. economy.
There are also domestic-oriented sectors with large-cap companies, such as utilities, real estate, railroads and telecoms.
In most cases, these companies make all of their money at home in the U.S.
Finally, looking further afield, there are emerging markets, such as India. Indonesia and Brazil, with large, fast-growing
economies that are less dependent on global trade. A weaker dollar, higher commodities prices and more investor-friendly policies
are all positives for emerging market stocks.