Goldman Sachs recently released a research report providing investors with three investment recommendations for the fourth quarter.

Firstly, they suggest that investors use low option prices to reduce risk while maintaining bullish positions.

Analysts wrote, "Given the potential volatility of the market in the coming months, investors should consider put spreads. We recently discussed with option strategists how this structure allows investors to prevent stock market crashes (although unlikely to occur) without incurring additional costs, and appropriately hedge against recent downside risks

Secondly, they believe that investors should hold companies that return cash to shareholders, rather than investing in capital expenditures and research and development.

They said, "In the late stages of the economic cycle, when investors believe there is not much spare money, they usually doubt investment plans that pursue large-scale growth because of the uncertainty in the return on these investments. On the contrary, in such an environment, investors usually prefer companies that return cash to shareholders

Finally, analysts suggest that investors avoid companies that may be affected by rising interest costs.

They said, "Our interest rate strategists believe that the level of interest rate balance has structurally shifted upwards. Long term high interest rates will put pressure on companies with weaker financial conditions, but for many stocks, the expected improvement in economic growth has offset this risk