Buy and Hold These 3 Resilient ETFs in Case of a Recession
The U.S. has experienced ten official recessions since the S&P 500's inception in 1957, making it inevitable that another recession will occur.
Rather than panicking and selling stocks during downturns, investors should consider buying and holding exchange-traded funds (ETFs) with diversified baskets of stocks.
Vanguard's Healthcare ETF (VHT), which tracks the MSCI U.S. Investable Market 25/50 Healthcare Index, is one such option. It has a low expense ratio of 0.09% and holds 416 top healthcare companies, including Eli Lilly, Johnson & Johnson, AbbVie, Merck, and UnitedHealth Group.
VHT's total return since its inception in January 2004 is an impressive 757%, and it pays a 30-day SEC yield of 1.2%.