Investors need to start preparing now for the post-recession landscape in 2021, with analysts at Morgan Stanley advising clients to “keep the faith [and] trust the recovery” by favouring stocks and credit over government bonds and cash.

The investment bank said despite rising coronavirus cases, policymakers have indicated the world is on track for a sustainable, V-shaped economic recovery that is set to follow “much of the ‘normal’ post-recession playbook”. This means investors should buy up “equities and credit against cash and government bonds, and sell USD”.