Staying Sane in a Crazy 2020
A Crazy Year
A change of pace this week. Let's face it, this COVID-19 crisis, fires, elections, and the unrest in our country have really taken a toll on everyone's peace of mind. It's been difficult for many.
I recognize this is not a pure financial topic this week, but I think it does factor into investment strategy as those who do not handle stress well can often times increase market volatility. Uncertainty is the root of most wild swings in market values so understanding this reality is important.
I think sometimes we fail to recognize how much uncertainty can affect how we feel and think. At DWM, it is something we are very conscious of as our team continues to work diligently on your behalf. We also continue to reach out to the community as we try to provide resources for those that are struggling in this difficult year of 2020.
Rational Thought vs Pure Emotion
It is our goal at DWM to try to be as rational as possible while still being realistic about the challenges that we face. With the upcoming presidential election that is sure to be abnormal, you can expect to continue to see more headlines and more uncertainty that will cause volatility. These can be opportunities if one is disciplined.
We have lists of assets that we believe are priced too high now that may become opportunities if volatility accelerates. This acceleration will be due to headlines, uncertainty, and investor's perceptions about the future. In other words, emotions will impact the markets and we may harvest opportunities based on fear and overreaction.
In general, this pandemic has been stressful for the entire world and maybe you are feeling a bit of that as well. If so, you are not the only person feeling this way!
A Widespread Challenge
Here is a link to a brief article that talks about how this stress might be unsettling.
In the article they stated:
Recent data seem to show that the warning was warranted: According to survey results released by the Centers for Disease Control and Prevention on August 14, 30 percent of respondents reported symptoms of anxiety and/or depression, versus 11 percent during the same time period in 2019. (The CDC survey, which was conducted at the end of June, also reported that over 20 percent of essential workers seriously considered suicide that month.)
KFF, a nonprofit that conducts a monthly tracking poll of health indicators, found in July that 53 percent of respondents indicated that pandemic-related stress had affected their mental health, up from 32 percent in March. Dawn Brown, director of community engagement at the National Alliance on Mental Illness, which runs the free NAMI HelpLine for people seeking support and information, writes that, between March and July, they’ve seen a 65 percent increase in calls.
Some callers have preexisting mental health conditions and reached out because of concerns about accessing medication or treatment during a pandemic, she writes; others did not have anxiety or depression diagnoses but were beginning to experience symptoms.
Source: Wired.com, September 8, 2020 by Grace Huckins
We Are Here
Our entire team is focused on helping you through this difficult time. We are focused on the positive and you have our complete commitment to doing all we can to move through a 2020 soaked with unprecedented events.