Publish date:

How the Turkish Currency Crisis Affects You

With everyone screaming "Turkey" and "contagion" in the same breath, we called in an expert to get all your answers and calm your nerves. And most importantly, make sure your 401(k) will be ok. So listen now!

Turkey's currency is in free fall, inflation is at 15% and rising so the Turkish economy easily could enter a recession if there aren't immediate policy changes.

Granted, Turkey is not a large economy, so it's not systemic risk for the U.S., said Jim Cramer from the floor of the NYSE, but it is a bridge between Europe and the Middle East.  It acts as a buffer between Europe and the war in Syria, so what happens is important.

So we called in Peter Lannigan, a senior managing director and head of emerging markets at Newfleet Asset Management. With over 20 years in emerging market (EM) experience, Lannigan discussed what needs to happen, how much longer we may see volatility and what countries actually are benefitting from all this. 

TheStreet Recommends

Cramer, too, has offered some buying suggestions here at home because there are some companies that actually are benefiting from this currency crisis.

Most importantly, in the clip above, we talked about whether the contagion will hit your 401(k).

But be sure to listen to the full podcast now for all the details!