What we have seen over the past 9-10 years in the stock market has been absolutely what happens after the economy experiences a recession. You see many stocks regain the losses they experienced plus more as they rebound from the downturn in a recession market. We are now in the latter part of the expansion phase of the economy. I mention this because many institutional investors are beginnings to shift back to value stocks from growth stocks. You may ask whats the different between growth and value stocks. Growth stocks are stocks that are expected to experience great upward appreciation in value compared to the average stock in their industry. Value stocks tend to be more mature companies with solid fundamentals who are priced below their peers based on P/E (price to earnings ratio), yield, and other financial ratios. With a recession expected within the next 24 months, you may see that companies are still beating in their earnings report but the expectations are being lowered across the board. With value stocks, you will typically experience better dividends and companies that are a little more recession proof. These are things to keep in mind when evaluating your portfolio in the current economic climate.