---
title: Long-Term Investors, Don’t Let a Recession Faze You
description: Long-Term Investors, Don’t Let a Recession Faze You
---

[Investments Blog ](https://blog.bh-co.com/blog/investments)

# [Long-Term Investors, Don’t Let a Recession Faze You](https://blog.bh-co.com/blog/investments/long-term-investors-dont-let-a-recession-faze-you)

 Written by [Tra Sullivan](https://blog.bh-co.com/blog/investments/author/tra-sullivan) | May 14, 2020 5:00:00 AM

 

 

- In the past century, there have been 15 recessions in the US. In 11 of those instances, stock returns were positive two years after the recession began.
- Investors may be tempted to abandon equities and go to cash when there is heightened risk of an economic downturn.
- But research has shown that stock prices incorporate expectations of a recession and generally have fallen in value before a recession even begins.
- The average annualized return two years after the onset of these 15 recessions was 7.8%.
- A $10,000 investment at the peak of the business cycle would have grown to $11,937, after two years on average.

Recessions understandably trigger worries. But a history of positive average performance following a recession can be a comfort for investors wondering about sticking with stocks.

[View full post](https://blog.bh-co.com/blog/investments/long-term-investors-dont-let-a-recession-faze-you)

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