Share tips: Remember Murphy’s Law

The economic outlook for 2012 is pretty grim, says professional investor Chris White. The trick is to keep it simple. Here, he tips three defensive stocks to buy now.

Each week, a professional investor tells MoneyWeek where he'd put his money now. This week: Chris White, senior investment manager, Premier Fund Managers.

The economic outlook for 2012 is pretty unappealing on a 12- to 18-month view. So what should investors do? The answer is to keep it simple. The inflationary backdrop makes cash and bond returns look unattractive. However, equities look like relatively sound investments at least they are able to provide some inflation-protection. This year will be one in which Murphy's Law applies to companies and their share prices. That is to say, if you think it could go wrong, it probably will. In this environment, defensive equities look the most attractive as their earnings are fairly reliable.

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