Health and Wealth is Under Siege
March 15, 2021
Two of the most important aspects of life have collapsed in front of our very eyes: health and wealth.
We need our health to live our life and our wealth pays the bills.
Last March, with a hint of things to come, COVID-19 took a stranglehold on North America. We have not experienced that type of pandemic since the Spanish Flu a century ago.
The contagious virus spread through Canada. People got sick. Many others were fearful of the disease and our economy turned on a dime.
Businesses would close. Some by order of the government, others out of a respect for health and caution.
While we were all focused on health, our wealth took a hit.
Investors had been rewarded with excellent returns. Early last year the US stock market was enjoying a prolonged period of continued growth and was celebrating new all-time highs.
Then in March the bottom fell out of the market. Record breaking declines in stock prices. People panicked. Investors sold in order to seek the safety of the side-lines and leave their money in cash.
To add insult to injury, after many investors had sold, the stock market broke records for its speedy recovery.
The past 12 months has been the most challenging time for most of us.
We expect that we will recover. But there will be huge changes. It is not reasonable to think that we can experience this dramatic a year without a major reset on how we live our lives.
There are major political challenges ahead, including federal debt reduction and the financial inequity for those that have been financially devastated by the pandemic.
We will argue and we will debate. We will shape our future together.
Peter Watson is registered with Aligned Capital Partners Inc. (ACPI) to provide investment advice. Investment products are provided by ACPI. ACPI is a member of the Investment Industry Regulatory Organization of Canada. The opinions expressed are those of the author and not necessarily those of ACPI. Peter Watson provides wealth management services through Watson Investments. Peter can be reached at firstname.lastname@example.org