Talk about an odd time for us to be living in. Crazy to think the best comparison to our current situation is over 102 years ago, in 1918, when the world was fighting the Spanish flu. No one has a clue when the pandemic will end, but that’s a great reason for us to reanalyze our financial investments.
The world has faced major disasters like SARS, ebola, aids, 9-11, wars, etc. Now is the time to thoroughly analyze the markets you invest in, not just for the short-term but also for the long-haul. Financial advisors aren’t recommending abandoning your stock; instead, they’re advocating the opposite.
The wisest investors invest the most during recessions, according to Warren Buffet. His wise advice is, “Be fearful when others are greedy and greedy when others are fearful.” So please don’t run from the market, instead run to it! This health crisis has put us in a unique recession; not all companies are seeing declining business. Instead, hundreds are thriving and expanding more than ever.
So why is now the best time to become a shareholder in several stocks?
1. The price of stocks is insanely low!
Listen, I know you’re all like “what’s all the excitement?”, but I’m excited because there is still hope. The world is gradually opening back up, and for a few months now, we have been figuring out new ways to survive in this season. People are just shifting their purchase habits around, like buying more in the e-commerce market, which is thriving. Hundreds of stocks that do well usually are very cheap now, and the world is finding new ways to succeed in this economy, so have faith in your investments.
2. The e-commerce business is booming
Many e-commerce brands are pulling in skyrocket numbers these days, like Amazon reports making billions in the first quarter of 2020 and has ordered the company to provide over 175,000 jobs this season. Walmart is giving Amazon a good run for their money with their booming online business.
Since we must stay home these days, everyone is looking to spice up their homes, making Wayfair a hot spot online. Netflix is a flourishing business, and we all know they aren’t going anywhere; they are just becoming bigger pre-COVID and post COVID.
3. The essential markets are going nowhere, so please put down your deposit.
I’m sure we’ve all never valued brands so much like Target, CVS, Walgreens, or even Clorox until COVID lifestyle approached. These are all brands the economy is milking that aren’t crazy prices per share and will always be needed so it’s an excellent investment to look into.
Don’t sleep on our favorite club brands like Costco, that’s witnessing super sharp sales as the country continuously stocks up on food and household essentials during the pandemic. Then we have the pharmaceutical brands like Johnson & Johnson, which are currently working on a vaccine for COVID-19, and they are a very valuable market in almost every essential area to think of.
4. It’s better to start small, rather than not start at all.
It’s best to start small in investing since you’re new to the market, take your time. In the world’s current lifestyle, we have to be prepared to be able to cover our necessities. Invest a small amount and watch how the market flows over the next few months before you buy more shares.
5. Do it for the long haul.
Despite the current market status that does raise doubts to us all, keep in mind the market will recover. Hundreds of stocks are at it’s finest prices, don’t miss out on these steals! History has shown us that recessions usually hit every ten years. Are you willing to let another ten years pass you by before you start investing today?
While the world is operating on a part-time schedule, take the time to research the stocks you feel the strongest about, learn their history, future projection, and purchase that share. Utilize mobile apps like Acorn, Cash App, or Robin Hood to track your stocks on the go and daily. Remember, this is money for your retirement, not next year’s vacation funds. The ones who take the risk to start earlier than later will reap the most benefits.
Have you used this opportunity to invest in the stock market? Let us know down in the comments.
This article originally published on GREY Journal.