4 Tips for recession Investing
The savvy businessperson knows how to use the situation to their advantage.
By Clinton Douglas IV
We never outgrow cotton candy. However, for most of us, extreme roller coaster rides lose their thrill and appeal around age 18. We may not want to go back to the kiddie coaster, but unexpected upward jolts and never-ending falls can only stir excitement so many times before you have to say “enough is enough.”
When that roller coaster ride involves hard-earned cash acquired exhaustively through day-after-day of the 9-to-5 grind, those jolts can become cause for serious panic. A 200-point drop in the DOW can easily translate into thousands of dollars in losses for a single person.
It’s one thing to watch your investments double to your favor as they did during the dot com boom or the housing bubble. But when the same happens in reverse, as many people have lived through in the last two to three years, it can be downright exhausting. Many portfolios have taken a blow more than once, with hopes rising here or there only to fall once more following another downswing when the nation hits a phase of political turmoil, a rise in jobless claims or mere skepticism.