Portfolio Advice: Apple & Walmart
Jay Pestrichelli, CEO of ZEGA Financial, weighed in on the two stocks he's keeping an eye on.
Hint: One's been in the news lately and the other is facing off against the Death Star that is Amazon .
If you guessed Walmart and Apple , then you're right.
"There's a lot of news...about Apple, right?
There were some downgrades.
People think it's kind of overbought.
For us, we ended up managing a lot of client portfolios that hold Apple.
It just is a natural position for a lot of portfolios.
And so there's a way to actually continue to hold that stock, um, but in a protected way," said Pestrichelli.
"So we are able to, at no cost or very low costs, hedge those stocks where you could pick your upside, where you want to sell it, but then say limit your loss to say 10 or 15%.
And so when we're managing those positions like Apple, we end up putting on a little extra addition to it because you can get some market movements here.
So Apple's an interesting name," he continued.
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