Broker Check

Coronavirus Uncertainty

April 10, 2020

We currently find ourselves in extraordinary circumstances regarding the coronavirus pandemic.  Although I have spoken to many of you, it has been difficult to reach out to all my clients give the large volume of call and emails I have been receiving. 

The defining characteristic of the coronavirus and the resulting equity market decline has been uncertainty.  It is uncertain how many people the virus will infect and over what time period.  The global economy has already started a significant contraction.  It is uncertain how deep this recession will be or how long it will last.  It is also uncertain just how far it will fall when the temporary decline will end or when it will resume its permanent long-term advance.  This current uncertainty is obviously causing fear and panic in many areas of our lives, including the global financial markets.  In times like these I am reminded of Warren Buffett’s famous quote: “Be fearful when others are greedy and greedy when others are fearful.”  I appreciate this contrarian perspective and see this period of uncertainty and fear as opportunity for the long-term investor. 

I am blessed to have such wonderful clients like you.  I want to encourage you to continue to stay the course with steadfast patience and calm.  Remember that optimism is the only realism. The coronavirus will be defeated.  The economy and the equity markets will recover.  The great companies in America and throughout the world will not only survive but once again thrive.  Continue to focus across the valley of fear to the horizon of optimism and opportunity.  This current uncertainty will most certainly pass as it always does. 

Please do not hesitate to email or call me with specific questions pertaining to your investment plan and long-term goals. 

Please stay safe and healthy.

Sincerely,

Gavin S. Parker