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How to prepare for the next recession : 10 things you need to do today.
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1. Build a strong emergency fund
Make sure you have 3 to 6 months of living expenses in savings Ideally in a long term fixed deposit.
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2. Make debt repayment your priority
it takes the pressure off of your cash flows if you run into financial trouble
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3. Keep an additional source of income.
There is a huge freelance market available today that can quickly be transformed into a good source of side income
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A balanced investment portfolio that works on the concept of diversification and hedging can withstand almost any economic storm.
4. Create a balanced investment portfolio
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5. Make sure that you maintain a good credit score
During recessions, lenders only lend to the strongest borrowers. This means that if you have stellar credit score, it will be very useful
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6. Make sure every family member has a Health Insurance cover.
Health insurance for every family member in UAE and in your home country also is a necessity
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7. Never postpone your medical expenses
your income can get affected and the prices of medical treatments can rise. So, get your expensive medical treatments done while the economy is booming.
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8. Start networking consistently to maintain contacts in multiple places
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9. Do not make decisions rooted in fear