Trends I Think Will Last Beyond the Pandemic

By Sonu Kalra, portfolio manager of Fidelity® Blue Chip Growth Fund

The longer it takes for economic activity to normalize, the more I’m convinced that some of the habits consumers developed during quarantine are likely to become entrenched.

For example, I believe the increased online spending we’ve seen amid the pandemic is here to stay, largely because customers are getting used to the convenience of internet shopping and home delivery. This is why I think e-commerce firms should do well for several years to come.

I also see an increased need for digital software applications, cloud presence and identity management tools longer term, and not just due to the rush to implement work-from-home solutions, which could benefit cloud services providers.

Additionally, I am watching companies that participate in the athletic/health and wellness segments. I think people will continue to spend less time in the office going forward and will seek ways to get more exercise, eat healthier, and buy and wear more athleisure clothing.

Lastly, entertainment in the form of video games could continue to see heightened demand longer term. Similarly, I think the trend toward opting out of cable-TV subscriptions in favor of lower-priced video streaming services will persist even after the economy normalizes.

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