Can One Get Rich or At least Not go Broke During a Recession?

[2stout]

Yes, but if you're a market person, then in the short-mid term, might want to consider put options.  Another idea would be to play the market long and buy shares of "good" companies at a discount right now, hold, and cash in later.

[temple]

The question OP asked kind of answers itself.

Millions become millionaires during Covid pandemic

I think people with a lot of experience in trading and investing and also with some important life experience in general are better set up to identify opportunities when the world is in shambles. One such example are those who invested in pharmaceutical companies during the pandemic and made fortunes doing so. A condition is of course that liquidity is available and you saved up enough beforehand.

It is much different for people who need to spend every penny of what they earn each month. They have no choice anyway even if they were to understand that an investment is smart in a certain industry during a recession or a crisis like the pandemic.

As bad as it sounds, but when Putin started attacking Ukraine, some smart people put money into military companies. Just have a look at Lockheed Martin's share price. As bad as it sounds and apart from the moral aspects, this is just to show that there are ways to reasonably analyze what a crisis or recession is actually about and make decisions accordingly.

To summarize, some people will always go broke during a recession. It kind of is an irrefutable given of the term "recession". It means that wealth is destroyed and those who don't own any wealth usually pay their price with painful existential consequences. 

[iv4n]

...
To summarize, some people will always go broke during a recession. It kind of is an irrefutable given of the term "recession". It means that wealth is destroyed and those who don't own any wealth usually pay their price with painful existential consequences. 

At every moment, with the recession or not, some people go broke and some people make gains, it's how the world works, and it's full of ups and downs for all people. To summarize anything is possible! It's life! So what makes someone get rich or get broke at any time is impossible to explain in a few words, many factors need to be known to us so we can make any conclusions. I think we all wish to make the right decisions at the right time, but that doesn't turn out like that, I guess we all depend on some luck, in the end!

[Captain Corporate]

You can technically get rich, but will it be by investing? I am not sure. Look at the oil companies, they did fairly well because they were selling something that people needed, and they made a whole lot of money from in fact they broke their profit records this year thanks to these situations. All in all, I would assume that it would be quite difficult for anyone to make a profit during a recession, definitely a hard thing, but nobody can say it would be impossible either. It will definitely be possible if you could end up selling something that people really needs, and keep on selling it more and more.

[Truyet Lan]

Every day people are getting rich or going bankrupt because of their investments. It takes a chance.
However, most people are still in the position of neither making a lot of money nor losing a lot of money.
(This part is collectively referred to as ordinary people)

[gabbie2010]

During recession you live within your means the idea of becoming rich is out of it, for instance a person that lost his job wouldn't think of using his savings to invest in a bid to becoming rich when there are bills to be settled and payment for basic goods and services especially in a family who is trying hard to survive the harsh effect of the recession, the high cost of goods and services would deter such a person to have extra funds for investment I doubt if there will be any opportunity to become rich in that period, everyone will strife hard to live comfortably first before considering other investment.

[Paul Pogba]

Of course you can, people who think success always try their best and never blame conditions including an economic recession, even when an economic recession many people increase their wealth, a good business when a recession is the financial sector, namely loans.

[CageMabok]

Of course you can, people who think success always try their best and never blame conditions including an economic recession, even when an economic recession many people increase their wealth, a good business when a recession is the financial sector, namely loans.

Why loans can be so good during an economic recession? Doesn't that also have a risk if the borrower can't pay off the loan when it's due to pay it off according to the applicable rules? Because of every condition that occurs in this world, it is only a trading business by selling daily necessities that will continue to run without a hitch by continuing to make profits. In addition, another business that everyone can continue to run is to open a business in a tourist spot that is most visited by the public, because in such a place there is also more money circulating every day.

[Bitcoin2009]

During a recession, of course, many people become difficult and economic difficulties that make many people poor, but for those who already have strong financial capital it will be easy to increase wealth, usually many companies go bankrupt and need capital so if they have large capital they can buy the company's shares.

[Rockstarguy]

Of course you can, people who think success always try their best and never blame conditions including an economic recession, even when an economic recession many people increase their wealth, a good business when a recession is the financial sector, namely loans.

It possible for one to get increase in income whether in recession period or not, but the truth is that in time of recession it is a tough time for the economy of individuals and the economy struggle.  In recession some government depend in borrowing to maintain the economy. After borrowing money in recession some business ends up folding up.  Recession is a difficult time that is always not good for economy and businesses,  it favours few sectors.

[Maidak]

In a word, it's as simple as in the crypto market. When the bear market happened, a lot of people lost their money and had to sell their bitcoins at a lower price, many even went bankrupt and left the market. But for those who know how the market works, bear season is a rare opportunity and they have to wait years for it to happen. While many people dumping because of losses, there is always someone who buys it back at an extremely cheap price. Then a lot of people will get rich because of the bear season and a lot of people will go bankrupt because of the bear season. The world economy works similarly, the crisis cannot last forever.

[AmoreJaz]

During a recession, of course, many people become difficult and economic difficulties that make many people poor, but for those who already have strong financial capital it will be easy to increase wealth, usually many companies go bankrupt and need capital so if they have large capital they can buy the company's shares.

i guess, it depends on how people will live their respective lives, whether recession or not. if you know how to be frugal at all times, you will find out that you can survive at any crisis or any season. also, you need to find ways on how to earn extra income. those people who have financial capital know how to take advantage of this opportunity. so even if you don't have big funds in place, you should know where to put your money into. you need to work on your own and not rely from others. don't look also from other's achievements, you will only get depressed.

[DrBeer]

Is it possible to make money in a crisis or recession? CERTAINLY !
There are indeed moral restrictions... But not everyone pays attention to them.
It must be understood that a recession leads to a sharp and prolonged decline in living standards and incomes of the local population. The population, which gave "reserves" for future periods, and short-term problems. Believe me - I'm sure no more than 1-3% of the population makes and contains reserves for 1-3 years. The rest have reserves for 1-3-6 months, but no more. So the point of consumption of stocks will come very quickly. And this means that many will first sell, very cheaply, at first the most useless things (clothes, household appliances, etc.). Then, they will move on to "strategic reserves" - currency, precious metals, investment coins, etc. And this is the time to buy cheaply, that after a while it will be possible to sell for its real and not dumping price.

[KingsDen]

During a recession, of course, many people become difficult and economic difficulties that make many people poor, but for those who already have strong financial capital it will be easy to increase wealth, usually many companies go bankrupt and need capital so if they have large capital they can buy the company's shares.

i guess, it depends on how people will live their respective lives, whether recession or not. if you know how to be frugal at all times, you will find out that you can survive at any crisis or any season. also, you need to find ways on how to earn extra income. those people who have financial capital know how to take advantage of this opportunity. so even if you don't have big funds in place, you should know where to put your money into. you need to work on your own and not rely from others. don't look also from other's achievements, you will only get depressed.

There is a great opportunity in freelancing. Being able to work remotely for more than 5 clients or companies is a blessing in disguise. Even if there is no job security, there must always be food on the table. All the 5 and above clients will not lay you off simultaneously, especially if you are good at what you do. Gig works is rising and people are trooping in, getting some skills and establishing your niche in the freelancing jobs could be your passport to escape brokenness during recession.

With this you can be investing at your pace, and take advantage of other opportunities that may present itself.

[Lien Uiryen]

During the recession, with companies laying off employees and factories closing down, many poor people have become even poorer. They have no source of income and can only work and live on commissions every day. The daily life of the rich has not been affected. They may acquire Housing, and other economic growth, this is also an investment of the rich.

[Riodarvg]

A recession could make it harder for people without jobs and incomes.
And it is indeed a good opportunity to get rich for some people who are financially prepared, and they choose to invest in cryptocurrencies to make a profit by predicting market trends.
This is called the rich get richer and the poor get poorer.

[blockman]

During the recession, with companies laying off employees and factories closing down, many poor people have become even poorer. They have no source of income and can only work and live on commissions every day. The daily life of the rich has not been affected. They may acquire Housing, and other economic growth, this is also an investment of the rich.

It's because they're only relying upon their employment and that's their sole source of income. This means they don't have any other source and they only have one source for everything. It's sad but also humbling at the same time and has given us a lesson that we shouldn't rely only on one thing if it's our source of income. They're living their day-to-day life as if they're really dependent on it and this is a situation that is no secret to most. Salute to those that still made their ways out of it despite with the hard situation that we've gone through.

[Pejoh Asu]

It becomes very difficult when we experience economic recession, basic necessities, namely food increases significantly and we are very difficult to earn income so that many people become poor, this is what makes it very difficult to survive with minimal standard of living.

[CageMabok]

It becomes very difficult when we experience economic recession, basic necessities, namely food increases significantly and we are very difficult to earn income so that many people become poor, this is what makes it very difficult to survive with minimal standard of living.

I don't feel that way now, so I can still live normally and not feel difficult and feel already poor because I am always grateful for what I have got so far through the work I do every day. And for other people I also don't know if they feel the same way as me or they find it difficult as you say. But what I see here in my surroundings is that there is no increase in the price of staple foods and no one is experiencing difficulties for any reason at this time.

[Golfler]

It becomes very difficult when we experience economic recession, basic necessities, namely food increases significantly and we are very difficult to earn income so that many people become poor, this is what makes it very difficult to survive with minimal standard of living.

I don't feel that way now, so I can still live normally and not feel difficult and feel already poor because I am always grateful for what I have got so far through the work I do every day. And for other people I also don't know if they feel the same way as me or they find it difficult as you say. But what I see here in my surroundings is that there is no increase in the price of staple foods and no one is experiencing difficulties for any reason at this time.

I feel very uncomfortable now, my income is reduced, my life is getting more and more stressful, it is hard to be happy, the coins in my wallet are also falling, I have closed my physical store, and I don't know when the economy will get better.