How to invest during a recession?
1. During a recession, most investors should avoid investing in companies that are highly leveraged, cyclical, or speculative, as these companies pose the biggest risk for doing poorly during tough economic times.
2. A better recession strategy is to invest in well-managed companies that have low debt, good cash flow, and strong balance sheets.
3. Counter-cyclical stocks do well in a recession and experience price appreciation despite the prevailing economic headwinds.
4. Some industries are considered more recession-resistant than others, such as utilities, consumer staples, and discount retailers.
2. A better recession strategy is to invest in well-managed companies that have low debt, good cash flow, and strong balance sheets.
3. Counter-cyclical stocks do well in a recession and experience price appreciation despite the prevailing economic headwinds.
4. Some industries are considered more recession-resistant than others, such as utilities, consumer staples, and discount retailers.
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I reflected trading experiences by writing journals. My comments are for educational purposes not financial advice.
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whqqq : Which companies are referred to in Article 1 and Article 3 respectively?![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
ZnWC OP whqqq : Cyclical vs Non+cyclical
You can refer to this articles. But do your due diligence if you want to invest in such stocks.
https://www.fool.com/investing/stock-market/types-of-stocks/cyclical-stocks/#:~:text=A%20cyclical%20stock%20is%20one,and%20other%20challenging%20economic%20times.