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Risk takers often face significant issues during a recession due to their tendency to chase high returns through speculative investments, such as cryptocurrency or volatile startups. While such investments can lead to substantial gains, they carry inherent risks, especially in unstable economic times.
For example, a young accountant who invests heavily in a single cryptocurrency may see their investment plummet during a market crash. While bold risks can be profitable, they should not comprise an entire financial strategy. A diversified approach, with a mix of safer investments and a cash reserve for emergencies, can mitigate losses during downturns.