Best Investments to Own Coming Out of a Recession
October 18, 2023
Doug Stokes was featured in a Bankrate article by James Royal, Ph.D.
Many economists and investors expect a recession in the not-too-distant future, and while that’s not a given, the conditions could be coming together. The Federal Reserve has been sharply cutting the money supply and raising interest rates over the last 18 months to choke inflation. Inflation has fallen drastically, and it’s hard to see the employment picture staying as strong as it’s been.
For these reasons, many investors are considering what to invest in if a recession does arrive, letting them take advantage of low asset prices for a subsequent rebound. Here’s what some advisors and analysts think are the best investments to own coming out of a recession.
If you’re looking for investments that do well coming out of a recession, it’s important to understand what the economic cycle looks like at that point. When economic growth bottoms, the economy is still very much in the midst of a recession. The news remains dour, and the usual signs of a recession remain evident and ongoing – but the situation as a whole is not getting worse. The Fed has begun lowering interest rates and may lower them further.
*Stokes Family Office does not offer legal or tax advice. Please consult the appropriate professional regarding your individual circumstances.