Economic security

This is how to protect your money in a trade war, analysts say

As tariff talk heats up, so do fears of a trade war.

"There's no winner when you have a tariff battle, because typically you get retaliation," Joe Duran, founding partner and chief executive officer of United Capital, said Tuesday on CNBC's "Power Lunch."

But if President Donald Trump's proposed tariffs — 25 percent on steel and 10 percent on aluminum — happen and a trade war becomes a reality, financial experts have some tips on how to protect your assets.

1. Identify Risks

Reassess the existing risk in your portfolio, Duran said.

"Look at the beta on your portfolio," he said. "Make sure your mix of cash, bonds and stocks reflects something you can stand through, regardless of what the market does."

2. Diversify your portfolio

There are many areas you can invest in, Duran said.

"Interestingly enough, if we have tariffs, small caps will do better, because they don't typically have as much complexity as these mega caps," he said.