White Coat Investor Podcast

WCI #278: Recession Proof Investments

Sep 1, 2022
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ANECDOTE

A Shift With A Heartbreaking Outcome

  • Jim shares a recent emergency shift story treating a 17-week pregnant patient whose water broke and the outcome was tragic.
  • He uses the example to thank clinicians for caring during patients' worst days.
INSIGHT

Recessions Are A Committee Call

  • The NBER decides recessions qualitatively, not strictly by two negative GDP quarters.
  • They weigh multiple indicators like employment and real income, so declarations lag real-time data.
INSIGHT

Avoid Market-Timing Mentality

  • Chasing a separate "recession-proof" portfolio tempts dangerous market-timing moves.
  • A static allocation with annual rebalancing forces you to buy low and removes timing bets.
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