Coronavirus and Investments: Should You Sell or Buy?
One of the questions you may be asking yourself is, “When does life become more normal?” You’re not alone. As global events continue to change rapidly, it’s hard to see past the constant coronavirus updates, the news of sports arenas and entertainment resorts temporarily closing, and no one wants to even consider traveling or going on a cruise right now.
In other aspects, life has changed in some surprisingly positive ways. In California, the freeways aren’t nearly as congested, which makes for a pleasant experience for those of us in essential services. Families are spending a lot more time together. We’re having a lot more conversations with loved ones through the use of phones and video technology. We’re even finding creative ways to get some physical activity by setting up workout spaces in our homes, having online fitness classes, and more. In some cases, we’re quite literally being forced to slow down and reexamine what’s important.
And then, with health and safety being the major concern, some of you might still be wondering what to do about your investments: Should you sell or buy?
Selling or Buying
The answer really depends on two things:
What’s your outlook of the events surrounding Coronavirus?
Do you have a more positive, negative, or neutral outlook concerning what is happening now, and what that means for the future?
What’s your risk level?
Here we need to talk about the basics of risk. You should still consider:
- the timing of your investments
- how much liquidity you have
- your overall knowledge of what you’re investing in
- your risk level: how comfortable you feel taking the risk. Are you more aggressive, conservative, or moderate?
When considering what your risk level has been in the past, and considering the events that are currently happening, along with your financial future, you may decide that now is the time to make some changes.
If you have a more positive outlook, for example, you may decide that now is the time you want to buy and take advantage of some opportunities that wouldn’t have otherwise come along. Of course we know that all of our clients are different, and our main priority is to talk you through any concerns you may be having. We will figure out the solutions that best fit your needs at this time.
Please don’t hesitate to reach out and let us know how we can support you. Our team is always available to speak over the phone or through video conferencing. Or you can stay up-to-date by viewing weekly webinars from Robert Chatterton.
The Team at Chatterton & Associates
Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss. Past performance is no guarantee of future results. Please note that individual situations can vary. Therefore, the information presented here should only be relied upon when coordinated with individual professional advice.