What are your plans when the recession hits ?
All our money is in stocks. So what are your plans when the next recession hits. Any thoughts when it would occurs?
Recession doesn't affect my retirement savings plan. Keep stashing away more in emergency cash fund and try to keep my job
Good that I don’t have money. All hard earned moolah went to student loans. #Bernie2020
so you want your hard earned moolah to then go to other people's student loans?
Student loans shouldn’t exist. My mom and dad paid their hard earned money to bail out the banks 11 years when the last recession hit. If tax payer money can go to two (*two*) wars that nobody wanted, it can damn well go towards free public college and healthcare. Bite me.
Magic internet money
Buy more stock
Real estate
Last recession was caused by real estate inflated prices...and hence it was The most affected area...very bad choice, to go blindly for it
Pretty sure they meant but real estate if/when it goes on sale lol
This is a really good question. When a big recession hits, illiquidity will likely dry up real fast. Which will hurt basically ALL assets denominated in dollars. This includes stocks, commodities (including gold), bitcoin, real estate. The best is to keep money in dollars during this but trying to time the market is impossible. So one possible solution is to buy long tail options to hedge against a massive downturn. Treat it like a little insurance package. When the recession hits, this hedge will cancel out the loss of all other assets leading you to a neutral state.
Depends on the nature of the recession. Keeping dollars was effective in the last two recessions but the ones in the 70s and 80s came with massive inflation and wiped out the value of dollars. Like 20% in one year inflation.
You’re right, a recession could be coupled with a simultaneous debasing of the dollar in which case there’s almost nowhere to hide. In this case, Gold and Bitcoin is my choice as it’s cannot be debased.
Recession means 2 straight quarters of gdp fall. It doesn’t mean anything other than hiring freeze or slight dip in stock market. You don’t want to hide when that happens. The events of 2008 are unique and it will never happen in our lifetime again
The events that lead to 2008 were unique but it is naive to think that such a recession cannot occur again Read: The Black Swan by Taleb
I believe full consequences of 2008 were just kicked down the road. The Fed has fewer tools available to navigate the next downturn - outside printing money and causing inflation. They will choose inflation over a depression though because, politically, doing something is better than doing nothing even if it’s not.
Burn the city to the grounds
Btfd