Recession predictions & Market timing

The market consensus appears to indicate expectations of a recession to start later this year. What does this mean for stock market investors? Is it possible to time the market and preserve capital by predicting the onset of and recovery from a recession?

 Our highlight article this week from AMG demonstrates the difficultly of predicting recessions (even if they are accurate) in order to time the stock market. Though many attempt such feats, the article provides historical data and suggests that market timing decisions based on recession predictions is unlikely to add much value. 

commercial real estate debt

Commercial real estate debt as a share of GDP is much smaller than residential mortgage debt thus reducing fears of another financial crisis akin to 2008.

 
 

What Else We're Reading

Legacy Trust Family Wealth Offices

 4200 Marsh Landing Blvd, Suite 100

Jacksonville Beach, FL 32250

Office: (904) 280-9100

Fax: (904) 280-9109

 

Legacy Trust Family Wealth Offices of Jacksonville Beach, Florida, is a new type of financial services firm - an independent multi-family office - that brings all facets of your personal financial affairs under one roof, where they are coordinated for optimum efficiency and maximum performance. 

Investment products are not FDIC insured, are not bank guaranteed, and may lose value.