3 Tech Stocks to Help Hedge Against a Recession
While the jury is still out as to the possibility of an impending recession, there's no doubt that fraught economic waters persist and the reality of inflation continues to afflict companies of all sizes across a range of industries. In the event of a full-blown recession, it's likely that many companies -- even in more traditionally recession-resilient sectors like healthcare, for example -- would face headwinds to revenue growth and profitability for a time.
Historically, tech has been a particularly volatile place to invest in a recessionary time, but that doesn't negate the quality of great businesses that can outlast the volatility of these periods -- a fact that patient, risk-resilient investors can seize upon.
When you're investing in companies for a minimum of three to five years, if not longer, a recession would represent a relatively brief span within that window of time. And by putting your cash into resilient businesses that can generate long-term growth, not companies revolving around short-term tailwinds, you can better prepare your portfolio for an economic downturn and the market mayhem that often follows -- as well as the rebound that has always tailed these dips in the market.
Source Fool.com
