Covid 19 is new for all of us. This informal video is designed to filter out the noise and equip you with the facts.
Each week we hope to act as a filter, distill down the 1-2 salient and fact based insights of the week, provide one piece of perspective and provide one piece of wisdom.
For Every Buyer There is a Seller - Prices React Quickly
The stock market is doing what it does best. Taking in information and adjusting prices accordingly. These prices reflect the price of any security or stock at a given time. It has no indication of what the value will be in the next month next year or even the next decade. I believe prices will rise and that that they have a long term positive expected return, maybe not today or tomorrow but over time they will rise. It's also important to remember that every time a trade takes place the person selling the stock is selling it to someone else has to buy it. When the media makes it seem like everyone is panicking and selling their stocks remember, in volatility times like this and in good times every time someone is selling someone else is buying.
Lessons for the Next Crisis
I've attached a great article I pulled up last night, one I sent to all of you 3 years ago. It was written 10 years after the last major market correction at a time when it was easy to be an investor in the stock market. Stocks had rebounded from the crash of 2007, unemployment was low and getting lower things felt "normal" a much different experience than they in 2007. While we're in a much different place today and in uncharted territory the same lessons will be learned in the future. For those that stay patient like they those investors who sat through the crash of 2007, 2001, 2000, 1998, 1989, 1987...I could go on but you get my point. In all of these cases those that stayed patient 5 years after the correction saw their portfolios rise a minimum of 47%.
Increased Cyber Fraud Activity Amid Covid-19 Fears
No matter where you live whether it's CA where the state is on lock down or somewhere else these difficult times tend to bring out the worst in some people. Be VERY CAREFUL and on the lookout for fraud and scams. As many of us seek information on this pandemic criminals are seeking to take advantage by turning common information searches into information theft. Here are some of the latest activity these criminals are using:
Outbreak maps. Malicious actors have begun spreading malware through online maps claiming to track the spread of the coronavirus.
Email Campaigns. Criminals are leveraging common forms of fraud like email campaigns using infected attachments or downloads
Charitable giving. Scammers are posing as charities looking for contributions to help pay for expenses related to this pandemic.
It's important that you stay vigilant during these uncertain times. Do not click on unknown links and avoid visiting new websites that could be operated by criminals.
