Growth Concern

Growth concern means investors are worried that the economy or a company may grow more slowly than expected. In simple terms, growth concern is fear that future growth is weakening. Growth concerns are important because slower growth can hurt company sales, profits, jobs, and investor confidence. When growth concerns rise, investors may move away from risky assets and toward safer investments. For example, if retail sales fall and jobless claims rise, investors may develop growth concerns about the economy. Growth concern is not the same as recession. It can appear before a recession, but it can also refer to a mild slowdown or weaker company performance.