Canada is experiencing real turbulence this month. The TSX, Dow Jones, S&P 500 and NASDAQ are all tanking. Not only are double-digit falls occurring over the course of the last couple of weeks, but the volatility has been spectacular.
Market volatility causes people to make mistakes in their portfolios especially when the markets are so unpredictable. The price of oil has plummeted. The quarrel between Saudi Arabia and Russia has cause supply to flood the market with demand grinding to a halt. The price per barrel of Canada Crude is in the single digits impacting people’s livelihoods out west. Also, jobs across all sectors are letting go of people to reduce labor costs. As a result, unemployment rates are heading to levels we’ve never seen before.
Stimulus spending is being introduced by the government but given how widespread unemployment is and considering the levels it may grow to, it’s difficult to predict what impact this spending will have. Not to mention, traditional safe havens like gold and Bitcoin are also falling and US Treasury Bonds are rising too quickly. This creates a scary equation for investors. Recent months have been a textbook example of unpredictable markets and a broader economy that’s beginning to suffer.
Where did this all come from?
Much of the suffering is stemming from the SARS COVID-19 virus or coronavirus. COVID-19 is an infectious disease with symptoms that include fever, cough, shortness of breath leading to blueish lips, newish confusion, and persistent chest pain. Hospitals are already starting to feel the pinch. Many countries with worse exposure are running low on respirators and face masks.
The COVID-19 disease itself is contagious. The disease spreads through coughing, sneezing, and even nearby breathing. As a precaution, most people have been asked to stay home and all non-essential business has been closed. Despite the oldest people in our society being vulnerable, most cases are in the younger age groups showing no visible symptoms. Although it might not be as deadly with younger people, the disease is serious, contagious, and measures should be taken to avoid possible exposure. These factors make it more difficult to plan life.
With all this financial uncertainty, the question is: where is my financial advisor?
Your mind may be racing through questions like the following:
- Will I have enough to retire?
- Should I invest?
- Is now a good time to buy a home?
- Does my health coverage or insurance at work cover COVID-19 expenses? If so, how much?
- How can I prepare myself and my family to best position us financially for the months ahead?
Financial advice is about partnership. That’s why at Dundas Life, we’re here to support you through all life’s problems. We specialize in insurance, but we also have mortgage and wealth management divisions. These work in tandem to ensure that you’re ready for what life throws at you and that your financial plan is comprehensive and in sync with your needs.
If there is a problem you’re looking to tackle, we will find you an answer, even if you have a preexisting condition. Our team of specialists will work with you to find the right solution. With your average advisor being sixty years old in North America, the average age is half of that at Dundas Life. We will be here with at times of extreme euphoria and dread.
Whether you have a child, are coping with a pandemic, buying a home, navigating a market crash, or needing the right people to provide your children with a beneficiary check and make sure they’re taken care of after your passing, we’ll be here every step along the way.
Times with the greatest challenges can also create the greatest opportunities. Let’s chat.