Whether oil prices rise or fall, energy stocks are always worth investing in, according to Brian Arcese of Foord Asset Management. Arcese, a portfolio manager at the company, said he would be completely comfortable increasing the weight of energy stocks in his portfolio. “I think there’s a lot of tailwinds for oil prices going forward,” he told CNBC Pro Talks on Thursday. “So what if I’m wrong? That’s why some of these oil majors are, in our minds, a great way to play with space.” “Oil prices should, at a minimum, stay where they are, but they could go up. And if you’re wrong, all of these companies are also very quick to generate at oil prices below half their current level. So you would still earn a dividend with oil at $40,” Arcese added. Crude prices have been volatile this year, with Brent recovering after the Russian-Ukrainian war to around $130 a barrel before generally sliding on the lows. recession fears Brent last traded around $91 a barrel and WTI around $83 a barrel Stock picks Arcese says he likes Occidental, a “big company [which] is strongly linked to oil prices.” “So if oil prices remain high, they generate a significant amount of cash,” he said. “Management considers that it will not use cash to invest in low-yield renewable energy projects. , for example, but will instead return all excess cash to investors – either as redemptions or as special dividends. Energy is the only S&P 500 sector to be in the green year-to-date on Friday, with most of the others in the red. “It’s a very interesting space in which to invest when there has been significant underinvestment. and even today, with prices where they are most at, the oil majors are not investing in new exploration,” Arcese added. 2021 was just over $350 billion – “well below” 2019 levels, according to the IEA’s World Energy Outlook 2021.