American Century: Pepsi, Alibaba Are Perfect Plays in Choppy Market

Pepsi is perfect for investors seeking a stable, diversified stock to ride out the market's recent volatility, said Victor Zhang, Co-Chief Investment Officer for American Century Investments. Zhang added that Pepsi is outperforming Coca Cola and its snack business broadens its appeal for investors seeking safety and yield. He said the stronger dollar will weigh on the earnings of multinational companies, but it will benefit consumers and not derail economic growth. Finally, Zhang is bullish on global e-commerce players like Alibaba due to the secular change in the way people shop, especially in emerging markets.