Why Doing Nothing Can Make You More Productive

Relaxing

One secret to achieving more: Finding time to do nothing.

In our efforts to squeeze every second from the day, it seems counterintuitive to watch a pot of coffee boil or gaze out the window. But your brain uses those free periods for important cleanup work, neuroscience research indicates. And during the pandemic, as the boundaries between work and home have blurred, it has become harder to create mental breaks.

Even brief timeouts help the brain reinforce long-term learning and productivity. You come out of downtime able to learn more, and can access that learning faster. “When you take a break, you may want to do something mind-consuming to help with motivation, but technically your best way of taking a break is to do something mindless,” says Barbara Oakley, a professor of engineering at Oakland University in Michigan who teaches a popular online course on how to open your mind to learning.

To ease into allowing yourself to do nothing, start with something familiar. Here are some techniques.

Take a long shower

A natural place to start slowing down is a habit that’s already built into your schedule, such as taking a shower. Letting your mind wander here can be a stepping stone to quieting more hectic environments. Or try blocking off time to look out your window. In her book “How To Do Nothing: Resisting the Attention Economy,” writer Jenny Odell describes how bird-watching became her favourite slow-down activity: Exhausted after pulling an all-nighter, she had gazed out the window and noticed a cluster of yellow birds. “I burned out, and in that state of forced relaxation, that happened to be when I noticed,” she says.

Play a game without keeping score

Dr Oakley points out that while our body’s dopamine reward system might encourage tasks, keeping score is labour. Instead of competing against your crossword best, find a puzzle game on your phone that requires simply swiping.

Take a solo walk

Leave the Fitbit at home, and free up an hour to absorb the scenery in silence. Being in nature has been linked to a multitude of physical and mental benefits. But be sure not to create a competition, which can take the relaxation out of the activity. “We get fixated on taking 10,000 steps,” Ms Odell says. “Yes, it’s good to go for a walk, but this isn’t a job.” Enjoy the meandering, rather than the race, she suggests.

Cook a big meal

Borrowing from the downtime that the Italians call dolce far niente (the sweetness of doing nothing), the act of cooking a meal can encourage a wandering mind. It can be tempting to create a culinary masterpiece to make the time worth it, but fight the urge. Ms Odell suggests trying to “see the nonwork time as something other than the negative space left after work.” Try a simple recipe that requires slow preparation. Not only is the activity downtime, but bonus points for resting at the table between courses.

Just sit down

If you’re struggling to get enough rest at night, try a short nap. Simply find a comfortable chair, and breathe. While you’re napping, remember that your brain never is. Rest is one of the most important ways to enhance the neurological flexibility to build the kind of conceptual understanding that is related to identity and purpose, says Mary Helen Immordino-Yang, a professor of education, psychology and neuroscience at the University of Southern California. Consider that a reason to lose the guilt over a daily rest.

Nokia Is Cutting Up To 10,000 Jobs to Boost 5G Investment

Nokia

Nokia has unveiled plans to axe up to 10,000 jobs as part of a €600 million cost-cutting program aimed at boosting investment in 5G.

The telecom-equipment maker said resetting its cost base would allow it to invest in research and development and long-term growth areas, including 5G, cloud technologies and digital infrastructure.

The stock, which has been a favourite among retail investors and Reddit users in recent months, edged 0.5% higher in premarket trading, while the Finnish-listed shares rose 0.6% on Tuesday.

The company said it expects to lower its cost base by around €600 million by the end of 2023. As part of the restructuring, Nokia said its global workforce would be reduced from 90,000 to between 80,000 and 85,000 employees over the next two years. The company maintained its 2021 outlook.

The U.S.-listed shares are up 10% year-to-date but that doesn’t tell the whole story. The shares climbed 55% in the space of three days at the end of January, prompting the company to release a statement saying it could not explain the rally. The stock has since retreated 52%.

Aside from the volatility, Nokia’s fourth-quarter earnings were stronger-than-expected, driven by 5G margin expansion. Nokia and its Nordic rival Ericsson have benefited from a number of western countries banning China’s Huawei from 5G networks on national security grounds.

However, the Finnish company said its rate of converting its 4G footprint into 5G in 2020 was affected by shortfalls in China and North America. It also lost out to Samsung on a $6.6 billion deal with Verizon. Revenue is expected to fall for a second consecutive year in 2021, Nokia said, citing market share loss and price erosion in North America.

Looking ahead. When Chief Executive Pekka Lundmark, who took charge in August last year, unveiled a new strategy in October, he promised to do “whatever it takes” to lead in 5G. The company’s restructuring plan is evidence of that. After falling behind, Nokia needs to start picking up market share to challenge the likes of Ericsson and Huawei.

Nokia’s capital markets day on Thursday will be the next major event for investors to closely monitor, as Lundmark sets out his long-term strategy and financial outlook. JPMorgan Cazenove analysts said Nokia was likely to come across as confident of turnaround potential. But they said the company was unlikely to “raise the bar significantly” with mid-to-long-term guidance, leaving upside potential if the turnaround proceeds better than expectations.

They rated the stock ‘neutral’ with a target price of $4.30. “We see no reason to turn bullish ahead of the day as we think the turnaround is going to take time,” they said.

Lundmark’s words again were clear on Tuesday as he said “in those areas where we choose to compete, we will play to win.” Words are one thing, it’s now time for action.

Short Seller Takes Aim at Another EV Maker

EV Stocks

Many new electric-vehicle start-ups have no sales and big aspirations. Electric truck maker Lordstown Motors is one of them. The company doesn’t sell EVs yet, but expects to start selling its all-electric truck called Endurance later in 2021. After the launch, Lordstown projects explosive growth off its 2021 base in 2022 and beyond.

One short seller, however, isn’t buying it.

On Friday morning, Hindenburg Research published a negative research report about Lordstown Motors (ticker: RIDE). The report makes several claims, notably that not all of the preorders the company has claimed are real.

The report is hitting the stock. Shares are down 20%, at $14.18, in Friday morning trading. The S&P 500, by comparison, is down 0.5%. The Dow Jones Industrial Average is up 0.5%.

On Jan. 11, Lordstown reported more than 100,000 preorders for its Endurance pickup truck launched this past summer. Hindenburg claims in its report that it has talked to some Lordstown preorder customers, and points out some it found that don’t have the cash to buy ordered trucks and that preorders don’t carry a commitment to purchase or a penalty to cancel.

Lordstown wasn’t immediately available to comment on the Hindenburg report.

Preorders in the EV industry are fairly common. Tesla (TSLA), when it launched its Cybertruck, regularly reported preorders. Tesla racked up hundreds of thousands in vehicle preorders before it stopped reporting the number. A Cybertruck could be reserved for US$100, which is fully refundable.

Hindenburg is the firm that published a negative research report about electric- and hydrogen-powered trucking company Nikola (NKLA) back in September 2020. Hindenburg alleged Nikola management misled investors. Nikola denied the claims. The report, however, led to the departure of company founder Trevor Milton.

An internal investigation conducted by an outside firm at the behest of Nikola followed and, as a result, the company disclosed in its annual report nine statements made by Miltion which may have been partially untrue.

At the time of the report, Hindenburg was short Nikola stock, betting that its price would decline. Now, Hindenburg is short Lordstown stock and stands to gain as it falls.

Lordstown became a publicly traded company in 2020 after merging with a special purpose acquisition company. The company, founded by Steve Burns, purchased an Ohio plant from General Motors (GM) to kick-start its growth plants.

The company projects more than $100 million in sales for 2021, growing to $1.7 billion in sales in 2022 and then to $5.8 billion by 2024. Vehicle deliveries over that span are projected to go from 2,200 in 2021 to more than 100,000 in 2024.

Lordstown will report fourth-quarter results on March 17 after the market closes. Investors and analysts will have a chance to hear from management then.

50-STOREY TOWER PROPOSED FOR SYDNEY TATTERSALLS

The Sydney City Tattersalls Club redevelopment is moving ahead with a detailed development plan now lodged for a $762 million tower complete with hotel and upscale apartments.

The proposed 50-storey tower will house a 101-room hotel and 241 apartments, as well as the regeneration of the Club’s quarters including new retail, upgraded lower bar and grill, new restaurants, a commercial fitness centre and event spaces.

Pending approval by the City of Sydney later this year, construction will begin in 2022 with completion expected in 2026.

The project is being led by Singapore-based First Sponsor Group and local developer ICD Property, the latter brought in by the City Tattersalls Club more than five years ago.

City Tattersalls

Local architecture studio BVNis designing the site,  with heritage architects FJMT overseeing the lower-level refurbishments

“The significance of this redevelopment to our members and a CBD that is very much in need of reactivating is indescribable,” said Marcelo Veloz, group chief executive at City Tattersalls.

An earlier proposal for the site was denied by the NSW Land and Environment Court – citing heritage grounds – three years ago

NSW Rental Rates Remain Unpredictable

Rental Market

The residential rental market across New South Wales remains erratic.

Fresh data from the Real Estate Institute of New South Wales (REINSW) Vacancy Rate Survey indicates vacancies for Sydney overall tightened last month and now sit at 3.1% (-0.5%).

“Sydney’s inner ring dropped to 3.7%, a decrease of 1.1% for the month,” REINSW CEO Tim McKibbin said. “Similarly, the outer ring dropped by 0.6% to 1.9%. Bucking the trend, the middle ring remained relatively stable, experiencing only a slight 0.1% rise to 4.3%.”

Sydney’s inner ring includes suburbs in LGA’s inclusive of Ashfield, Botany Bay, Lane Cove, Leichhardt, Marrickville, Mosman, North Sydney, Randwick, Sydney, Waverley and Woollahra. While the ‘middle’ is identified as LGAs Auburn, Bankstown, Burwood, Canterbury, Canada Bay, Hunters Hill, Hurstville, Kogarah, Ku-ring-gai, Manly, Parramatta, Rockdale, Ryde, Strathfield and Willoughb and ‘outer’ includes Baulkham Hills, Blacktown and Blue Mountains.

However, if the last 12 months have taught us anything, it’s that the residential rental market remains unpredictable, moving up and down month after month.”

Beyond Sydney, vacancy rates remained stable in the Hunter region up to 1.3% (+0.1%), while the Illawarra region rose to 2.1% (+1.0%).

Vacancy rates across NSW regional areas — such as Albury, the Central West, Murrumbidgee, New England, Northern Rivers and South East areas — all fell in February.

“Feedback from our members in these areas indicates that stock is extremely tight, as tenants continue to exit the Sydney residential rental market to secure a property that suits both their budget and desired lifestyle,” added McKibbin.

Victoria’s Record-Breaking Month Boosts Confidence

Victoria's Capital, Melbourne.

Last month, Victoria saw the highest ever monthly auction clearance rate for February.

Data from the Real Estate Institute of Victoria shows that February 2021 recorded an 84.8% clearance rate from more than 3000 auctions, beating out an 11-year record of 84.0%

17 suburbs were highly sought after having cleared 100% of listings. Those suburbs included: Hawthorn East, Fitzroy North, Ferntree Gully, Rowville, Brunswick East, Sandringham, Seaford, Collingwood, Ashburton, Blackburn South, Fawkner, Wantirna, Boronia, Fairfield, Hillside, Seddon, and St Kilda West.

Beyond suburbs at the top of the class, the best improvements on last year were in Sunshine North, Dingley Village, Gladstone Park, Ashwood, Albert Park, Fitzroy North, Doncaster, St Kilda West, Montmorency, Hoppers Crossing, and Templestowe.

Performance has been supported by incentives for First Home Buyers, mortgage repayment holidays and low interest rates.

While the market is steaming ahead, changes to the Residential Tenancy Act – which come into effect at the end of this month – are sure to disrupt the market, bringing more red-tape and increased ownership costs to investors.

Elon Musk Is the New ‘Technoking of Tesla’

Tesla Inc. said Chief Executive Elon Musk has changed his title at the company to “Technoking of Tesla,” extending an irreverent streak in the 49-year-old’s leadership of the electric-vehicle maker.

The company also said Chief Financial Officer Zach Kirkhorn will have the title of “Master of Coin.” Both Mr Musk and Mr Kirkhorn will maintain their respective positions as CEO and financial chief, according to a regulatory filing with the Securities and Exchange Commission on Monday.

The company didn’t explain the meaning of the titles and didn’t respond to an inquiry. Mr Kirkhorn’s new title might carry echoes of Tesla’s ambitions around cryptocurrency. Earlier this year, Tesla said that it had invested $1.5 billion in bitcoin and that it aims to start accepting bitcoin as payment from car buyers.

Over the weekend, bitcoin crossed $60,000 for the first time Saturday before falling back. A steady stream of institutional demand has been credited with driving much of bitcoin’s rally since the start of 2020, when it traded near $7,000.

Other companies have also embraced bitcoin in recent months. Square Inc., which shares bitcoin advocate Jack Dorsey as its CEO with Twitter Inc., acquired about $50 million worth for its corporate treasury in October. Bank of New York Mellon Corp. said it would start treating bitcoin like any other financial asset, and Mastercard Inc. said it would integrate bitcoin into its payments network this year.

Most job titles for corporate leaders conform to a narrow set of variations, but some Silicon Valley companies have previously used fanciful language to describe workers’ roles. For years, some companies have used terms such as “guru,” “jedi” or “ninja” to colour job descriptions that involve expertise or mental agility. Other colourful titles to emerge include chief happiness officer, chief futurist and chief digital evangelist.

Tesla disclosed the title changes amid signs of a bumpier road ahead than in 2020. Rivals are showing early signs of eating into its market-share lead in electric-vehicle sales. The company briefly shut down some of its car production at its lone U.S. plant last month due to parts shortages. Tesla also has said it expects lower Model S sedan and Model X sport-utility vehicle output this quarter as it introduces updated versions of the vehicles, though it is increasing output of its Model Y compact sport-utility vehicle in China.

Shares in Tesla soared more than 700% last year, then fell more than 25% earlier this month and are little changed for the year. The company last year achieved record car deliveries, posted its first full-year of profit and landed a spot on the S&P 500 index.

Mr Musk’s new title could be intended to reflect Tesla’s view that it is the source of technology disruption over the long term, Wedbush analyst Daniel Ives wrote in a research memo, pointing to the company’s autonomous-driving work and its strides in battery technology.

Mr Musk’s role as Tesla’s public face hasn’t kept him from pulling cheeky provocations. Breaking away from the mould of big-company CEOs who make carefully worded public statements, Mr Musk often posts Twitter messages with freewheeling thoughts about subjects ranging from Tesla’s share price to science-fiction topics and online memes.

Tweeting has gotten Mr Musk in trouble with regulators. In 2018 he announced on Twitter that he was considering plans to take the auto maker private, a claim later deemed misleading by the SEC after it became clear he didn’t have funding finalized for such a move.

He denied wrongdoing but eventually settled with a deal that included him giving up his position as chairman of Tesla and agreeing to have any of his Twitter messages relating to the auto maker’s business reviewed before publishing them.

Mr Musk’s ownership stake in the company helped him surpass Amazon.com Inc. founder Jeff Bezos as the world’s richest man this year.

Also, Tesla on Monday named Jerome Guillen, who has run the company’s automotive business, as its president of Heavy Trucking. He oversaw the truck project in a previous role and, before joining Tesla in 2010, worked on trucks at Daimler AG.

The appointment comes as the car maker ramps up activity around its delayed semitrailer truck.

Tesla over the weekend tweeted a video of the electric cab driving on a test track. Mr Musk has said the supply of sufficient batteries has been holding back the truck. “If we were to make the Semi like right now, which we could easily go into production with the Semi, but we would not have enough cells for it right now,” Mr Musk said on the company’s latest earnings call in January.

Europe Is Still In The Throes Of Covid-19, But Its Stocks Are Rallying

European stocks have been on the rise as international investors reposition their portfolios for the global economy to return to normal—a trade that hinges on smooth reopenings in the region.

The pan-continental Stoxx Europe 600 index has gained 4.5% so far this month, pulling ahead of major U.S. gauges, and on Friday hovered close to its highest point in more than a year. The S&P 500 has added 3.5% in the same period and the Russell 2000, an index of small-cap U.S. companies, has increased 6.9%. The Nasdaq Composite has gained 1% so far this month.

Analysts say this is due to a rotation from growth to value stocks: Investors have been snapping up shares of companies hit hard by the pandemic and selling those that benefited from stay-at-home orders. Europe is emerging as a beneficiary of this trade, which banks on a strong economic rebound.

“Europe is predominantly a value market, the U.S. is predominantly a growth market,” said Kasper Elmgreen, head of equity investing at Amundi. “This rotation benefits Europe disproportionately.”

Value stocks are thought to be trading below what they are currently worth. They are typically in established industries and pay dividends, and include banks, energy and industrial companies, which are also more sensitive to the economic cycle. Growth companies are younger and perceived to be innovative, with potential to do well in the future, such as technology.

But delays to the European Union’s procurement of vaccines is likely to result in its member states keeping social-distancing and travel restrictions in place for longer than countries that are inoculating their populations faster, such as the U.S. and Israel. This might mean that Europe’s economic rebound is slower and weaker. Italy reimposed stricter curbs in several regions last week and plans to lock down nationally over Easter.

“We are finding a little bit more opportunity outside of the U.S. [Value stocks] look cheaper and more undervalued overseas,” said Brent Fredberg, director of investments at Brandes Investment Partners in San Diego. “Now you’ve still got a long way to go in many of these companies, even though they’ve rallied hard.”

A key reason for Europe’s recent strong stock-market performance is the composition of indexes. The Stoxx Europe 600 is more heavily weighted toward industries that are considered to be value, such as financials at 17%, industrials at 16% and energy companies at 5%. Its weighting for technology and communications is 10%, compared with 37% for the S&P 500.

Amundi’s Mr Elmgreen has bought shares of European auto makers and companies that produce construction materials recently, and said he is “significantly underweight” U.S. tech, meaning he owns less than the benchmark he tracks.

Another driver of Europe’s performance is the bond market. The sense of optimism about economic growth has also driven fund managers to dump safe-haven assets such as sovereign debt, causing yields to rise and prices to drop. Government bond yields are used as a reference for the cost of debt in the broader market, including loans to companies. That rise in yields implies higher financing costs, benefiting lenders.

European banks have been among the best performers so far this year. Investors have been expecting the recent rise in yields to improve their net interest income, a key source of revenue. French bank Natixis SA has surged 47%, while Amsterdam-based ING Groep NV and Spain’s Banco de Sabadell SA have both risen 32%.

The Vanguard FTSE Europe ETF is up 5.6% for the year and the iShares Europe ETF has also risen 5.5%. Another iShares ETF that invests in European financial firms has climbed 12%.

Companies in sectors still curbed by government restrictions have also jumped. German travel company TUI AG is the biggest winner on the Stoxx Europe 600 this year, soaring 56%. International Consolidated Airlines SA has added 39% and InterContinental Hotels Group PLC has risen 15%.

But whether these gains are justifiable is still a question, according to Simon Webber, a portfolio manager at Schroders with a focus on global equities. “Travel has fundamentally changed, people are used to working productively, meeting and supporting customers remotely,” he said. Aviation stocks in particular “will be heavily scrutinized,” he added.

He has increased his holdings of European banks, but is also looking at buying more growth stocks such as electric-vehicle companies.

Commodities Supercycle Looks Like A Stretch

Copper Estraction

Commodity markets are roaring, stirring a debate about whether prices are headed for an extended upswing. The history of booms and busts in raw materials suggests the conditions aren’t right.

Prices for Brent crude, the international benchmark in energy markets, have jumped 82% since the end of October. Copper is more expensive than it has been since 2011. Food hasn’t cost as much since 2014, according to a United Nations index.

Some investors and analysts say commodities are in the early stages of a supercycle. That is a period when prices of livestock, grains, metals, oil and gas all climb for years, even decades.

A prolonged upturn would present investors with an opportunity to make money from long-term bets on exchange-traded products that track commodity prices. Such vehicles bloomed in popularity when commodity markets soared in the 2000s and early 2010s, only to fall out of favour when prices tanked in 2014.

But the chances of commodity prices rising in tandem over a long period are slim. Such cycles are rare. They have occurred when a major economy such as the U.S. or China undergoes rapid industrialization or urbanization, creating demand for raw materials that existing supplies struggle to meet.

Economists say they don’t see a similar catalyst right now. A swift expansion in the global economy this year and next is likely to power demand. Beyond that, many analysts see oil consumption, in particular, slowing down.

“It pays investors, it pays policy makers to be a little bit sceptical of characterizing the developments of the past six to 12 months as the seeds of a new supercycle,” said David Jacks, a professor at Singapore’s Yale-NUS College who has studied the history of commodity markets.

Commodity prices are an important barometer for financial markets. Rising gasoline and energy costs contributed to a modest increase in the rate of U.S. inflation earlier this year. Expectations of a leap in consumer prices sent bond yields surging in recent weeks and cooled corners of the stock market.

When resources’ prices swing higher for an extended period, one of three things happens. The first is an economic shock, such as the recession in the 1970s, caused in part by the Arab oil embargo. The second is a rush of supply as miners, energy producers and farmers seek to cash in. Over time, people switch to cheaper alternatives.

Adjusting for inflation, U.S. crude prices in 2020 were well below their peaks from 2008 and 1980, though they were more than double the 1945 level, according to data compiled by Mr Jacks. Inflation-adjusted grain prices have dropped since World War II due to advances in crop science, Mr Jacks said.

The last supercycle occurred from the late 1990s, when a rapid expansion of cities and industry in China unleashed waves of demand for natural resources, according to Daniel Jerrett, chief investment officer at Stategy Capital LP. Supply was slow to respond and commodity prices, adjusting for inflation, shot up.

“Is there anything out there like that now? I don’t see it,” Mr Jerrett said.

The China-led supercycle kicked off with crude-oil and copper prices at their lowest level in more than a decade. That isn’t the case now: Copper prices, for instance, are close to record highs.

The current outlook for commodity prices is especially complicated because of a number of competing forces.

Some commodities have been swept up in the “everything rally’’ phenomenon. The roaring market for assets from stocks to bitcoin suggests investors are flush with cash and speculating that prices will keep rising. An influx of money into precious metals has started to reverse, showing how fast money can flow back out.

A big unknown is how the drive to cut carbon emissions shifts supply and demand for different commodities. Switching to cleaner sources of energy will likely turbocharge purchases of materials such as copper and nickel, bulls contend. Before those efforts choke off demand for gasoline and diesel, a dearth of investment in the oil industry could buoy crude prices, too.

For now, however, the oil market remains on life support from members of the Organization of the Petroleum Exporting Countries and Russia, which are holding millions of barrels of crude in the ground each day to bolster prices.

The production cuts and a recovery in demand in China and India have helped oil prices rebound since crashing last spring. Brent crude futures have gained a third this year to about $69 a barrel. Some investors are betting they could surpass their all-time high of $148 a barrel in 2008.

U.S. production won’t keep up with the recovery in consumption due to restrictions on drilling on federal lands and belt-tightening by producers, said Christyan Malek, head of oil and gas research at JPMorgan Chase & Co. Cutting emissions at wells will boost production costs, and big oil companies are investing in renewable-energy sources instead of crude, he added.

The world’s biggest independent oil trader doesn’t see an imminent supply crunch. “We have plenty of reserves in the ground, we have plenty of refining capacity and we have plenty of ships to move oil,” said Giovanni Serio, head of research at Vitol.

Copper prices have leapt 67% over the past year to about $9,100 a metric ton on the London Metal Exchange. Goldman Sachs Group sees them hitting an all-time high of $10,500 in the next 12 months, in part because the energy transition will require metals that store and transmit power.

There are bumps in the road. Metal prices are the beneficiary of booming demand for goods and the economy’s emergence from lockdown. Both fillips are likely to fade. Also, it will be years before green infrastructure and technologies devour metals such as lithium at a pace that propels prices upward, analysts say.

Traders say there is plenty of copper available right now. Teck Resources Ltd., Ivanhoe Mines Ltd. and others, meanwhile, are due to start producing at new mines in the next few years.

The current run-up in metal prices in part reflects the same forces that have driven the past year’s recovery in stocks and corporate bonds.

“Fiscal and monetary stimulus has underpinned the rally since last March,” said Tom Mulqueen, head of research at Amalgamated Metal Trading Ltd. “There’s just more money in financial markets.”

Your Corporate Retreat Is On—But It’s Going To Be Weirder

Corporate Retreat

At the last global sales meeting he attended before the pandemic, Jeff Chase went to Caesars Palace Las Vegas with about 60 colleagues, plus many of their spouses. In February, the biotech sales manager scouted a location for their next retreat, the Renaissance Aruba Resort & Casino, on Zoom. He never left his home in Indianapolis.

The woman organising the visit, travel entrepreneur Sarah Reuter, instructed him and 70 other attendees from the corporate world to locate sunglasses, a hairdryer and a refreshing drink in their homes. When the video panned to the Caribbean, they were asked to turn on their blow dryers to simulate a coastal breeze in their hair.

“Myself, no, I don’t have long hair, so I couldn’t do that part,” Mr Chase says. He still enjoyed the whirlwind tour enough that he’s planning to book one of Elevate Travel Co.’s virtual retreats for the company’s biannual sales meeting this fall.

Vaccines are now reaching many American workers, but some companies are in no rush to bring back the in-person off-site retreat. Instead, they’re turning to a host of increasingly elaborate virtual options, including murder mysteries staffed with actors, webcast trips to beach resorts and safaris, and purpose-built digital islands for multiday gatherings.

They’re not quite a substitute for the splashiest pre-pandemic corporate off-sites—where some participants might have slept in a castle or raced Fiat 500s around the Tuscan countryside—and usually require much less time and money. But they can still help employees bond and let off steam after months of working in unusual conditions, their participants say.

Sean Hoff, managing partner of Toronto-based corporate retreats company Moniker, says clients have started inquiring about in-person trips, but are holding off on deposits and flights until at least June. So he’s ploughing ahead creating a virtual island for an upcoming retreat of around 240 people for Webflow, a San Francisco website-design company.

Employees will participate in videogame-like team-building activities, including a boat-building race. They will inhabit customized avatars and gather in virtual locales like a “tiki hut” and a “treehouse” for small-group meetings.

“The HR team, for example, will be able to say, meet us over by the dock at 5 p.m.,” he says.

“I’m not going to lie, I was a little sceptical at first. But after a year of remote work I was so desperate to meet more of my colleagues that I just dived in,” says Allison Williams, an account manager based in St. Louis at Articulate, an e-learning software company. Articulate held a weeklong virtual retreat in early February with over 104 sessions, including virtual yoga and virtual escape rooms. Out of 291 employees across 10 time zones, 267 participated, according to a company spokesman.

Ms Williams taught a class to 45 colleagues on calligraphy and says she made a new friend, a “fellow pen nerd,” in the process. She also made new work friends through the happy hours at a virtual beach club staged on Remo, an online conferencing platform. There were various seating options, including a bar, fire pit, or surfboard-shaped table. Employees talked in small groups with whoever else gathered at each site.

Alejandra Sereleas, a vice president of accounting at the France-based videogame company Ubisoft, hired Moniker to stage a virtual, 1980s-themed murder mystery for her team of about 80 people last June.

The scenario is a wedding: The groom mysteriously drops dead after taking a sip of his drink. The participants meet eight suspects, all paid actors, and must interrogate them to solve the crime.

“We asked everyone to be in character and be creative, and sent them a wedding invitation before the event,” Ms Sereleas says. People embraced the theme, she says, donning side ponytails and chunky jewellery and setting ’80s-themed Zoom backgrounds like a Pac-Man maze.

After the murder mystery, which made its debut last May as Moniker’s first virtual offering, the company created a “lunar outpost disaster scenario” set in 2037. It was adapted from a NASA training exercise for aspiring astronauts. Participants act as mission control for a crew of colleagues whose exploratory trip to the moon’s surface has gone awry.

“We’ve kissed the Blarney stone in Ireland, had whiskey at the top of a mountain in Patagonia, rode on a dogsled in Finland, sailed a yacht off Cannes and hung out with a gorilla doctor in Rwanda,” says Liz Lathan, Austin, Texas-based CEO of Haute Dokimazo, an events company that pivoted to virtual experiences during the pandemic. Her corporate clients Zoomed with travel guides in 28 countries between last May and December.

Vanessa Blackburn, Cleveland-based enterprise retail strategist at Retail Zipline, a communications startup for retail stores, has already done two virtual retreats with her team. Their last off-site, planned before the pandemic, was to take place in Lake Tahoe, and Ms Blackburn hoped to tack on a few extra days to ski. Her company’s two-day virtual retreat in March struck a different tone.

Instead of lavish catered meals, employees got to spend $25 on their corporate card to order coffee and lunch delivery. And the goody bags sent to their homes included a tub of slime, a plastic Slinky toy and a colouring book—not for the workers themselves, but to occupy the young children that many still had at home. “My daughter loved that,” Ms Blackburn says.