
Nicholas Morine
Apr 12, 2025

Recession talk has been dominating U.S. headlines as of late, Written by Nicholas Morine Edited by Rebekah Evans
Stick To Gold, Stock Market and Mining Stocks
As U.S. News pointed out, precious metals such as gold and silver — particularly the former — have been proven hedges against both inflation and stock market volatility. Further, they often generate profit when the dust settles.
The news outlet cited Stephen Akin, registered investment advisor at Akin Investments in Charleston, South Carolina, in outlining the particulars of this play.
“For true safekeeping, bullion and coins are preferred,” Akin said. “Mining stocks can leverage the market moves and will be winners in an up market.”
Akin noted that he preferred mining stocks versus index funds, but only for reasons of potential outperformance.
Recession talk has been dominating U.S. headlines as of late, alongside conflicting news regarding President Donald Trump’s sweeping tariffs, reciprocal tariffs and retaliatory tariffs being enacted by other nations against the United States.
However, with the American labor market showing resilience, according to Reuters — adding far more jobs than expected in March — an imminent recession is by no means guaranteed.
In fact, The Motley Fool gestured toward the proliferation of headlines speaking to recession fears and added a bit of a silver lining, stating that Goldman Sachs currently pegged the risk of recession in the near-term at 38%, less than half, before also stating that recession was a normal part of the boom-bust economic cycle and therefor inevitable in the long-term.
Invest In Index Funds, but Don’t Try To Time the Bottom
In a separate Motley Fool report, certified financial planner Matt Frankel advised readers to consider purchasing index funds — particularly S&P 500 index funds — as a way to spread out an investment among established market performers during a downturn.
If you do so by dollar-cost averaging, investing while not trying to precisely time the bottom of the market — doing so is foolhardy, per Frankel. “Nobody knows when the market is going to hit bottom, so invest in stocks or funds you want to hold for years, even if the market continues to fall in the near term,” he said. This way, you’ll likely end up ahead as the market eventually returns to stability and growth.
If the Real Estate Market Dips, It May Be Time To Buy
Harvard Business Review previously spoke with a number of financial experts, including real estate investor Attiyah Blair.
Blair suggested that during times of recession, real estate deals, short sales and foreclosures can create opportunity for buyers looking to enter the market as investors.
“I was 23 in 2007 when I bought my first rental property. I lived in it and rented it out after moving out. I kept the property throughout the recession because once you sell it, you don’t get the wealth-building part of real estate,” Blair said. “So, during a recession, buying rental real estate properties will provide additional cash flow for you and an opportunity to build wealth through property appreciation over the long term.”
Stick To Gold, Stock Market and Mining Stocks
As U.S. News pointed out, precious metals such as gold and silver — particularly the former — have been proven hedges against both inflation and stock market volatility. Further, they often generate profit when the dust settles.
The news outlet cited Stephen Akin, registered investment advisor at Akin Investments in Charleston, South Carolina, in outlining the particulars of this play.
“For true safekeeping, bullion and coins are preferred,” Akin said. “Mining stocks can leverage the market moves and will be winners in an up market.”
Akin noted that he preferred mining stocks versus index funds, but only for reasons of potential outperformance.
Editor’s note on political coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. You can find more coverage of this topic on GOBankingRates.com.