How To Protect AND Profit from this Upcoming Recession (DO THIS NOW)

About this Video

• Video Title: How To Protect AND Profit from this Upcoming Recession (DO THIS NOW)
• Channel: Ericnomics
• Speakers: Eric Nomics
• Duration: 00:08:10

Introduction

This video explains how to protect and profit from an upcoming recession by strategically investing in defensive ETFs and potentially employing riskier strategies like inverse ETFs or options trading. Eric Nomics, the speaker, shares his personal approach to rebalancing his portfolio during a market downturn.

Key Takeaways

• Defensive ETF Strategy: Eric recommends allocating funds to four defensive ETFs (XLP, XLU, XLV, VNQ) representing consumer staples, utilities, healthcare, and real estate sectors. These sectors tend to be more resilient during economic downturns. A lump sum investment followed by dollar-cost averaging is suggested.
• Aggressive Strategies (Higher Risk): The video also explores riskier options for profiting from a market crash, including inverse ETFs (like SH, PSQ, SQQQ) and put options. However, these are presented as short-term strategies requiring significant caution and understanding.
• Importance of Diversification: The video emphasizes the importance of a balanced portfolio approach, combining defensive strategies with carefully considered aggressive options, only if one understands the risks involved.
• Market Crashes as Opportunities: The speaker highlights that market crashes are a normal part of investing and often present lucrative opportunities for those who invest wisely and calmly.
• Importance of Research and Caution: Eric consistently stresses the need for thorough research and a cautious approach before investing in riskier options like inverse ETFs and options trading.