|Dear friends and clients,
Thank you for taking the time to read this note amidst the high volume of communication you are receiving at the moment. During this period of uncertainty, it’s important to stay connected and this is our effort to keep you informed about best practices for your personal finances.
First, let me thank you for your continued business and readership. Suffice it to say, a period of rebuilding will be fast to follow this crisis. We will need to shore up our savings accounts, develop recovery strategies for our investments and potentially find new streams of income. As new solutions to the COVID-19 pandemic emerge, we will regain our financial confidence and enjoy meaningful face-to-face social connections once again.
As a new wife to Tim, and mother to Baby Hank, I feel strongly that today’s global challenges can be an opportunity to be closer to family, to tackle DIY projects at home, and to implement even better financial practices in our households that will make us more resilient for the future. Here are a few suggestions to help protect your money right now.
TAKE ADVICE FROM REPUTABLE PROFESSIONALS: No one has a crystal ball. But, there are a lot of people giving advice (paid and free) on topics ranging from your health to investments. Before you follow the guidance of others, consider the source carefully. Are they qualified? Do their ideas make sense?
From the standpoint of your investments, know that there are still excellent quality stocks, bonds, funds and ETFs, and most are currently priced at a bargain. Good advisors (investment advisors and robo-advisors) will help you sort through what’s worth buying, selling and holding during this downturn. It’s important to note that most investment professionals agree on one thing right now; there will be a long road to full recovery for all investors.
BUILD EMERGENCY FUNDS: It’s more important now than ever before to save your money. Employment could quickly become scarce. And though the government is implementing financial aid programs for businesses and individuals who have been impacted by the crisis, it’s unlikely to cover all that you will need to pay rent or a mortgage, buy groceries and necessary supplies, and service credit obligations. Thus, in the coming days most major banks will start offering temporary relief from payments. You will need to call your financial institution to discuss the details. And, if you have exhausted the above options plus your emergency savings, a low rate line of credit can help bridge the gap between your financial obligations and a reduced income.
WASTE NOTHING: We need to be more efficient with what we have. Food waste should be non-existent, garbage minimized and single-use anything (plastics, clothing and paper products) need to be used multiple times prior to discarding, without compromising proper hygiene. If something in your home is broken, DIY solutions from Youtube.
While the situation continues to unfold, the financial bottom line for all of us is to be extremely careful with our precious resources.
We’ll continue to roll out timely tips over the coming days and weeks, but for now we are pausing our regular eNewsletter. As always, our blog is open – mevest.ca/blog.
We look forward to continuing to work with you as we weather this storm together.
From our family to yours, we wish you good health during this time.