What is good to invest in to weather the coming recession? nm

[rhett o rick]

[raccoon]

1. That's what I'd like to know. Looks to me like the economy is a perfect storm.

See

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=3620580&mesg_id=3620580

[A HERETIC I AM]

2. It seems to me the classic answer has always been "Defensibly"

When things get tough, invest in those sectors that are the least likely to be affected by a slowdown: Health care and Pharmeceuticals because people get sick regardless of what the conomy is doing, the "Consumer Staples" sector because people still buy soap and detergent and groceries regardless of what the economy is doing, Utilities because it still gets hot in the summer and cold in the winter and people still want AC & heat, etc..

Move more to Bonds and out of Equities is the classic thinking for capital conservation.

That's the simple, plain vanilla, straight answer. One can be as creative as one likes in this environment in order to make money, but you asked what's good to "invest in". To me, that word has a connotation of a long timespan.

What's important to keep in mind is that making too many (or too large) changes out of positions that are likely to do well in a recovery can be expensive in the long run.