Hi all,
So what’s all this about a recession?
Between journalistic fear-mongering and politicians weaponizing the topic, I fear our clients are about to get overwhelmed with recession talk. I tried to confront this risk head-on in the August white-labeled client letter.
By the way, overwhelmed is the right word. Our clients, like any other member of the human race, struggle to overcome the fear that they aren’t going to be okay.
This fear, the ‘am I going to be okay?’ question, is probably why they hired you in the first place. And your work helping them overcome this nascent uneasiness while stepping courageously into the next stage of life is commendable.
Returning to the topic of recessions, remember that the data we just received stating that the U.S. economy has undergone two quarters in a row of negative growth is about to go through a months-long process of adjustment and recalculation.
In 2008, the NBER first said we were in recession in December of 2008, after Lehman and an utter collapse in global markets.
In 2003, the NBER declared the 2001 recession ended in November 2001.
Official recession declarations are like getting a diagnosis that you were sick after you have recovered.
No one knows anything.
What you know, and what your clients must be reminded of → constantly, confidently, and optimistically →is that the market leads on the way down even as it has historically led us out of recession.
Helping our clients fight the behavioral gap so that greater amounts of individuals and families can benefit from the compounding power of markets is very much the work.
Your cause is righteous. Keep up the amazing work.
Your white-labeled monthly client newsletter is linked below. Just click on the Dropbox link and download it from there. A whole bunch of disclosures is included at the bottom of this email, but I urge you to follow these simple guardrails:
Keep reading with a 7-day free trial
Subscribe to The Value of Advice to keep reading this post and get 7 days of free access to the full post archives.