The Covid Correction

Are you familiar with the phrase ‘market correction’? Welllll if not, just hear me out. A market correction is defined as a decline of 10% or more in the price of a security, asset, or overall market of any investment type. While corrections are seen as unfavorable and are typically short-lived, the Covid correction has given the opposite impression. Financially, Covid caused a literal market correction to the S&P 500 index in early 2020 - around the time when ‘all hell broke loose’ as some would say. But the recovery has been remarkable, as the index remained on a steady rise at an exponentially high growth rate throughout the term of the pandemic. And while major news headlines read of unfavorable job reports, market declines, and business closures - all of which were gravely unfortunate and have long-lasting effects on the individuals involved - there were also many people who gained in many ways from a time of misfortune.

I know what you’re thinking …

The sad truth is that the best opportunities to gain are typically ones that come at an unfavorable cost to someone else. The ability to profit during a period of time that is proclaimed to be economically devastating is a gift of good luck, stellar advisement, or extensive knowledge of opportunity cost(s) to strategize and seize gains once the best alternative arises - an alternative that’s often not seen, heard, or acknowledged by the masses. So while many people indulged in consumerism by the fruits of their labor and/or the break from crippling expenses (such as mortgage/rent moratoriums, student loan repayment pause, etc.), the people who gained the most understood that the pandemic was a time to strategize and monetize in a way that would provide long-term returns. They took this time to become more educated on ways to invest strategically, they created at least 1 emergency fund, they continued to contribute to various retirement plans, and they continued to pay down their debts despite having a break on certain expenses. Ultimately, they saw the fiscal challenge and understood the assignment.

One could say that the same stands true for the mental and emotional challenges that came with the Covid-19 pandemic. Between the untimely demise of so many precious souls, the loss of small businesses which owners invested their all into, and the daunting task of having to simply sit with yourself, people were emotionally and mentally effected in ways that they may have never experienced beforehand. While there were many moments of emotional devastation, the impact of the pandemic allowed an opportunity to see and create space for healing - healing within yourself and to serve as a catalyst to healing for others. More people were engaging in vulnerable conversations, embracing spirituality, attending therapy sessions, and, most importantly, cherishing their time with their loved ones that are still here.

The Covid-19 pandemic has arguably been one of the most life-changing, paradigm shifting, and unforgettable events of the 21st century. It’s why I proclaim it as it’s own correction. Because while it came with so many changes that were unforeseen and undesirable, it also came with so many opportunities to change the trajectory of your life and the lives of the generations to come. As long as you understand the assignment, you can see the correction needed to re-level your personal markets and gain more than you could ever ask for.

Always,

Shakel ✨