Coronavirus and Finances
To say that March 2020 was a volatile month for the stock market would be an understatement. With the outbreak of the coronavirus and ensuing economic lockdown, the market ultimately dropped by some 40% before rebounding with the help of government-approved artificial stimulus. Financial markets around the globe were equally volatile — and to some degree, that volatility continued for years afterward.
The speed and severity of the COVID-19 outbreak, combined with the massive social and economic consequences, were a reminder about the importance of understanding risk and protecting your financial assets as best you can. Historically speaking, they weren’t the first such reminder, and you can bet they won’t be the last.
In this report, I’ll discuss how some of the most recent market crises have influenced my philosophy and business model and awakened an entire generation to the practical value of investing for income.