Icon

How to invest during times of recession

You may ask yourself, how can one invest in a time like this? Is it worth the risk with the market at a downturn without no forseable resolution in the horizon? One of the answers that a conservative investor will tell you is that to invest in low risk stocks. Enclosed in this category are utility stocks.

Utility stocks are stocks of electric, water, gas, and telephone companies. These are stocks with a relatively decent dividend income and high degree of safety. And why you may ask? The obvious answer is because whether the economy is growing or slowing, people just need electricity, water, gas and phones, these services are an indispensable part of our lives. Investors also prefer to invest in companies such as this because they produce reliable earnings.

Another reason is if interest rates continue to fall, one of the usual actions that the government will make is to lower the interest rates. This is to to puto to order the economy back to its well-balanced and healthy condition.

  • Share/Bookmark

Related posts:

  1. Tips in owning recession proof stocks Everyone i
  2. The best stock to invest in during recession Altira has
  3. Basics of a permanent portfolio fund The perman
  4. Stocks to watch 06-04-09 Edenor: sh

Category: Investing

Tagged: ,

Leave a Reply

News

Last Anglo Gaelic Bank was not an choice because it would outgo author than a gathering's polity depletion, the Country Finance Minister has said. "Those who brought us to this attitude get a lot to state for," Brian Lenihan said in the wake of Tues's bank |rescue direction. Figures published by Anglo as it unveiled losses of €12.7bn elaborated the voltage costs behind Mr Lenihan's forecast. They say up to €35bn of city would be needed to engross losses and €70bn would be requisite in governing money to money its existing loans to customers.