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4 healthcare stocks to hedge against recession
By The Fifth Person  •  December 13, 2022
The healthcare industry is one of the few sectors usually unaffected by economic recessions. While other sectors may experience sharp declines in business activities, healthcare stocks are often more resilient to economic downturns and can perform well during a recession. This is due to the fact that many people rely on healthcare services regardless of their economic situation, allowing the healthcare industry to have a high degree of price inelasticity. Price inelasticity means that consumers will continue to purchase healthcare services even when their income decreases and shifts in healthcare costs have little effect on demand for medical services. Furthermore, governments often increase funding for health-related initiatives during financial hardship. Healthcare stocks can offer investors stability and growth potential, making them an excellent choice for weathering future economic storms. Recent findings by Janus Henderson Investors have shown that healthcare stock declines were 51% less during market downturns than those seen...
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By The Fifth Person
The Fifth Person believes in spreading a message that financial literacy and sound investment knowledge can help people around the world achieve financial independence and lead better lives for themselves and their loved ones.
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