Preparing for an Economic Downturn
As we reach the 10-year anniversary of the inflection point of the 2008 Financial Crisis, it’s the perfect time to reflect on how the economy has (and hasn’t) recovered since the greatest economic downturn since the Great Depression.
If you’ve followed recent news reports, you’ve probably heard or read about the speculation of when the nation’s next economic storm will hit. While some reports believe the next downturn is just around the corner, others deny such predictions.
The entirety of an economy’s lifespan is comprised of a series of upticks and downturns, and whether we are in fact nearing the brink of another economic crisis is hard to say. Experts can posit theories regarding when the next downturn will occur and to what severity, but no matter how strong the current economy is or how low unemployment may be, we can count on the fact that at some point the economy will once again reach a tipping point and slow.
As the number of predictions indicating that the next downturn could be closer than we think continues to rise, it’s more important than ever to prepare yourself and your portfolio for a potential economic shift.