The year 2020 started with the troubling COVID-19 pandemic; an 11-year bull market has come to an end. In trying to flatten the Covid-19 curve, much of the world population is staying at home. The values of favorite companies’ stock markets have dropped precipitously. Against all norms when panic sets in like during the COVID-19, a few investors see it as an opportunity to fast track their paths towards financial freedom.
Trouble is an opportunity, and COVID 19 is troubling as more than 15 million Americans have filed for unemployment, with millions seeing their incomes drop substantially and Americans will underlying health issues are fearing for their lives. I advise not to let your fear make you lose a great opportunity to build life-changing wealth.
Warren Buffet Risk
-taker
During the time of maximum optimism is the best time to sell and during maximum pessimism is the best time to buy This a law of wealth synonymous with Sir John Templeton in the book, The laws of wealth-Psychology and the Secret of Investing Success. You might be fighting the urge to sell everything and hide until the pandemic is over or still be wondering whether this is the best time to invest in the Stock market. There is a reason Warren Buffet is one of the richest men in the world; he has invested more during such troubling times while others were fearful.
History of the Stock Market
In 2019 there was fear of an economic recession coming because the last market was going on for an extended period. The Coronavirus was not part of the fear people were having, even though they were expecting a recession. Like other disasters before the Coronavirus, I am confident the Coronavirus will pass. The world has been through terrorist attacks, wars, stagflation, inflation, deflation, EBOLA, AIDS, SARS: the list is endless. Even though the people suffered as a society, we pulled them through, and I do not. It will be different this round with COVID-19.
It is usually good to stay on track for financial freedom both in good and such bad times.Dr.Cosby, in his book about “The Psychology of Wealth,” defines a” bear market” as a 20% drop in stock prices, whereas a “correction” market is a 10% drop. Ever since 1900-2013, the US Stock Market has experienced 123 corrections, and that is just like once every year, and while bear markets are rare, the US market suffered one after every 3.5 years during the same time frame. If you can take corrections as natural at worst and take opportunities, you will benefit from others’ panic. I am confident that investing in the Stocks market during this Corona pandemic will help bring you closer to your financial freedom as recessions, bear markets, and uncertainty are the psychological price you are expected to pay to realize high returns.
If you sit and wait until Coronavirus is over to invest in the Stock market, you will miss on lifetime opportunities to buy low and move toward your financial freedom, the ball is on your court!
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