"Recession is when wages fall and diets rise," said one Klaus Klages, a German philosopher. Even though it feels like we've already left the recession behind us, especially in Germany after the successful summer, experts warn that 2023 is coming: "The short-lived growth sprint in the summer has postponed the recession in Germany - but it is coming," says Dr. Fritzi Köhler-Geib.
In the following article you will learn how to behave best during a recession in order to achieve the best possible results on the stock market.
When the economy is in a recession, it can seem difficult to choose a form of investment. Some people are even tempted to put their money in a savings account, however, there are likely better options during a recession. Below, we present four types of investments you should consider during a recession:
Mutual funds are portfolios of stocks and/or bonds managed by professionals. The fund manager tries to achieve higher returns than the general stock market by buying low-risk securities and selling them at higher prices. This is accomplished more or less often, depending on the manager.
Another type of investment to consider is real estate. During a recession, real estate prices often drop that this is a good time to buy real estate. However, make sure to plan your expenses carefully when buying and make sure you can afford the mortgage payments as they may increase in the future.
Bonds are a type of investment that offers you a fixed return over a period of time. They are considered low-risk investments and can be a good option for people who want to preserve their capital.
When the stock market is down, it can be a good time to buy stocks because they are cheaper than before. However, it is important to be well informed and make sure that you invest in companies that are likely to survive the recession. Here, it is advisable to take a closer look at stocks that pay dividends. This is the case because dividend stocks, and especially dividend kings and aristocrats, are considered particularly stable companies that could see rising dividends even during a recession.
Before investing your money, it's important to understand the risks so you can make the best possible decision for your financial future. If the economy is in a recession, investing money can be a good idea, but here are tips from us that you should consider:
As shown in the article, even during a recession there are ways to increase your money through smart investments. During an economic recession, however, it is even more important to make your investments in a well-considered way. Those who apply the tips and advice given in this article should have a good chance of making profits even in times of recession.
Attention, this is not investment advice, but solely the opinion of the author!
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Inhalt Puh, Börse ist doch nicht „e wie einfach“ Das KGV, KBV, KUV und wie die ganzen Kennzahlen heißen, ist für jeden Börsenneuling
Inhalt ist eine Anlagestrategie, bei der Anleger Aktien von Unternehmen kaufen, die regelmäßige Dividendenzahlungen ausschütten. Das Ziel dieser Strategie ist es, ein regelmäßiges
Inhalt Viele Anleger fragen sich ständig, warum Aktien fallen, nachdem die Ergebnisberichte der Unternehmen veröffentlicht wurden, besonders, wenn die Entwicklung laut des Berichts
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