3 Recession Proof Stocks to Buy Now
Rising COVID-19 infection rates, high unemployment, struggling small businesses, ongoing trade wars, and civil unrest all have some investors fearing the current recession will continue into 2021. A recession and stock market downturn are especially problematic for early retirees or people approaching retirement, because assets that fall in the near future may never have time to recover before being liquidated to support a retirement lifestyle. That said, it is extremely difficult to time recessions correctly, and selling out of equity positions could incur several years of opportunity cost if the market resumes its climb.
Considering these uncertain and volatile conditions, investors should look for stocks that pay a healthy dividend while operating a stable business that is proven to navigate recessions. The following three stocks would deliver returns even in a down market, thus reducing the likelihood that investors will be forced to sell a down position. Moreover, non-cyclical stocks such as these three tend to hold up better during recessions because their operational fundamentals are more stable.
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Source Fool.com
