Everyone, regardless of their income, gets antsy when there's a recession, depression, or even a slight downturn in the market. The uncertainty can cause a lot of anxiety about what's to come. It can make people put life plans on hold, start to look for other employment, or reassess how they're managing their money. Even though no one can predict how long or impactful a recession will be, there are some things you can do to cope and manage during a stressful time.
1. Avoid Information Overload
Everyone's financial situation is different, and that's an important thing to remember when you get a slew of information about a national or global recession. For example, if you don't own stocks or don't own them in a certain sector and then watch news coverage about a decline in the stock market or a depression in a certain market, it may send you into a tailspin. Try to focus on areas that personally affect you. This will keep your concerns legitimate and not overwhelm you with information that actually won't affect you financially and personally.
2. Focus on What You Can Control
Recessions happen, and you're likely to experience several in your lifetime. Even though the markets fluctuate, the economy always bounces back, even if it takes longer than we expect. Recognize that there will always be a certain degree of flux and focus on making the right decisions for you.
3. Get Help From a Professional
Hiring a financial advisor can help you make sense of what's really going on. Financial advisors have expertise in the sector and are realistic about the current situation and how it may impact you. Their calm and confident insight will steer you in the right direction. If you are already working with someone, it's a good time to touch base and ask what you can do to stay aware and keep your finances and options safe. Sometimes a little advice from a professional can set you on the right track to ease any concerns.
Use our one-of-a-kind Find an Advisor tool to find a financial services professional who can help you get through times of uncertainty and plan for your future.