Is A Recession Ahead Of Us?04-17-2023 |
As you probably know, there is a lot of uncertainty about our economy today. Many economists are debating whether we are already in a recession or not and whether it will get worse. Given the volatility in the markets, many investors see the possibility of things potentially getting worse, too. However, it is important for investors to understand the difference between the economy and the market, as they often move in different directions. For example, the stock market almost always bottoms well before a recession is over, and sometimes before we even know that we’re in a recession.
Three Factors to Consider
There are three things all investors should review and potentially adjust before a recession hits. They are:
• Your risk tolerance. Are you concerned your investments are too risky? If so, now’s the time to find out.
• Your diversification. Is your portfolio overly vulnerable to an economic downturn?
• Your cash flow. How could a recession impact your income, especially in retirement?
In the military, there’s a rule of thumb that goes, “Prior proper planning prevents poor performance.” By taking steps in advance to prepare for a possible recession, we can work to help mitigate its effects on both your portfolio and your finances in general.
The last 10 years were good, but how will you prepare for the next 10 years?
If you have any concerns about what a recession could do to your retirement, are unhappy with how your investments have been performing, or just need someone to talk to about the market’s overall, we would like to offer you a free second opinion from H&W. Together, we can discuss both your near and long-term goals, your risk tolerance, your current investments, and your cash flow needs to see if there are any changes you need to make before a recession hits. That way, we can ensure you are well prepared no matter which way the economy moves in the future.
To get started, please click on this link to complete a brief risk assessment questionnaire. This will help us determine whether your current investments align with your risk tolerance and objectives. If you have any questions, please do not hesitate to contact us.
Let Hennion & Walsh Offer a Second Opinion
Curious to learn more? Our unmatched client experience will give you peace of mind. Just as you may seek a second opinion about your health, we believe successful investors can gain value and peace of mind by getting a second opinion on their financial health. So, whether you’re worried about today’s uncertain economic environment or looking for increased peace of mind, we can help. Get a complimentary second opinion on all your retirement accounts not held at Hennion & Walsh today!
Hennion & Walsh Experience
We have advisors, planners, and portfolio managers that can collectively analyze your situation through the lens of their respective disciplines. Each member brings valuable insights to apply to your situation. Whether you are looking for income strategy guidance or growth strategy guidance, a second opinion of all your retirement accounts not currently held at Hennion & Walsh could be beneficial to your financial health.
Hennion & Walsh Asset Management currently has allocations within its managed money program, and Hennion & Walsh currently has allocations within certain SmartTrust® Unit Investment Trusts (UITs) consistent with several of the portfolio management ideas for consideration cited above.
Past performance does not guarantee future results. We have taken this information from sources that we believe to be reliable and accurate. Hennion and Walsh cannot guarantee the accuracy of said information and cannot be held liable. You cannot invest directly in an index. Diversification can help mitigate the risk and volatility in your portfolio but does not ensure a profit or guarantee against a loss.