Why Are Financial Gurus Denying The 2020 Recession?

Even with a decade of economic padding and prosperity, the American people are not quick to forget the events leading up to the Great Recession and the effect that downturn had on people’s retirements, mortgages, and livelihoods. That’s why people are being cautious now as all the warning signs of a 2020 recession have begun to crop up and can no longer be ignored. The Factum Financial team has written extensively on the warning signs that have indicated a downturn was on the way and now it seems that most Americans are coming to that realization as well. In fact, in a recent survey Bankrate.com found that nearly 40% of Americans believe that the recession has already begun or will begin within the next twelve months. This resonates with what some of the most trusted experts in the field have already said. Famed economist Gary Shilling, a financial analyst that has correctly predicted every downturn for the last 40 years, indicated in a recent interview for Real Vision that he believes we are already in a mild slump heading towards a 2020 recession. People are starting to wake up to the possibility of this slide as we head into the 2020 election cycle.

Radio Silence From The “Experts”

However, the curiously silent, or outright ambivalent, group in this downturn might come as a surprise — the “experts” in the field of finance. Despite the warnings from credible economists, according to the same Bankrate.com survey, almost none of the experts are willing to place the coming recession within the next year on the timeline. They cite the state of the economy, deregulation and a reduction on corporate tax rates as signs of a strong economy. However, analysts with Citigroup found a handful of trends over the last 60 years that have been strong indicators of an oncoming downturn and found that many of them are already happening now, such as rising corporate debt pool, slowing corporate profits and the poor performance of the S&P 500 in the first quarter of last year. With indicators stacking up, people are beginning to worry that their money is at risk and looking to their financial advisors for advice about a possible 2020 recession.

People are receiving overwhelming radio silence from that group or reassurances that it’s not the time to worry yet. They’re unwilling to see or admit that the ship is taking on water and already sinking, or if they are admitting it, they look to The Fed to lower interest rates in the hope that their action might help us avoid a 2020 recession. Have you ever tried to stop the sinking of a ship by bailing water with one small bucket? An infusion from The Fed likely won’t be enough to stem the flow. In reality, many of these experts are unwilling to admit that the party is over and that it’s time to be cautious. However, they can just pop ninja smoke and disappear when the ship goes belly up and it will be the American people left standing and holding the bank. You can’t afford to go down in the wreckage.

Jump The Sinking Ship

Maybe there are people that have time to make up what they might lose in a 2020 recession, but a lot of Americans don’t have twenty to forty years of working time to rebuild their nest egg. That mentality, where loss is just part of the process, isn’t fair to Americans trying to protect their hard earned money. In fact, it’s downright abusive.

Factum Financial has been helping individuals and families escape the ticking time bomb that’s waiting to explode with this next recession. If you want to avoid this upcoming recession, Factum Financial would like to deliver you a free Financial Picture Kit that will let you know if you’re ready for the downturn we are realistically already facing. Give us just an email below and our team will send it right over. If you want more information on what we do at Factum Financial, feel free to give us a call at 480-525-8180.