Even as the COVID-19 pandemic puts 30 million American jobs in peril, there is one sector of the economy that has managed to remain strong: technology.
On Thursday, May 7, the tech-heavy Nasdaq Composite Index officially erased its year-to-date loss, which at one point in March had been over as 20%, largely thanks to the resiliency of technology companies. As a result, technology has helped the Nasdaq become the envy of markets as the average U.S. stock remains down 18% and more traditional industries suffer.
How has technology been able to remain resilient throughout this unprecedented time? Bloomberg turned to Dunkin Allison, director of portfolio management at Delegate Advisors, for insights.
“I don’t think any full sector is bullet-proof to this,” Allison told the publication. But “technology is in a position, given the nature of their business models, to be more defensive, experience less pain and also come out of this a fair amount stronger than they were, say six or 12 months ago.”
Click here to read the entire Bloomberg article featuring Delegate’s Dunkin Allison.