In a recent feature by U.S. News & World Report, Dan Tolomay, chief investment officer at Trust Company of the South, shared his thoughts on handling potential economic downturns. The article explores investment strategies that could outperform during challenging economic times.
As concerns grow about the Federal Reserve’s ability to achieve a “soft landing” for the economy, investors are increasingly focused on defensive strategies. Tolomay shed light on the potential impacts of a recession, stating, “Lower economic activity can lead to layoffs as companies try to control expenses in the face of fading revenue, while lesser demand paired with higher unemployment means lower sales.” This sobering perspective highlights the challenges that lie ahead.
However, it’s not all doom and gloom. Tolomay pointed out that certain assets are better positioned to weather economic storms. Specific ETFs across different asset classes could offer more stability during a recession, emphasizing the importance of diversification and defensive positioning in investment portfolios.
Find out which ETFs made the list and why, and hear more from Tolomay on recession-resistant investing strategies. Click here to read the full article on U.S. News & World Report.
If you have any questions about how to prepare your portfolio for economic downturns, please reach out to our team—we’re here to help!
