A Time for Change, the Good, the Bad and the Ugly - What's On Your Mind - March 30th, 2020

By now I expect a lot of you realize that our monthly article has turned into a weekly one. During this time of COVID-19 we want to make sure that we keep our communication lines open.

Let’s start with some good news. The federal government has reduced all RIF minimums by 25%. At this time if any of you are receiving RIF payments or know of people receiving money from their registered plans but not really needing this money to live on, you may want to consider stopping or reducing the payment you receive during this time of market volatility. When markets normalize you can make the decision to restart or hold off as long as you take the minimum annually. The federal government will be monitoring to see whether or not they need to make more concessions towards retirees and their registered money.

Those of you that normally make annual contributions to your RSP may want to consider setting up a pre-authorized contribution and start to dollar average in on a weekly or monthly basis. We don’t know how long the sale will last but we believe that we are getting a good long term discount right now.

As a reminder we view investing as having a long term outlook.  In fact this is our preference.  We are often asked how long is long term. Long can generally be defined as greater than 7 years.  But since we don’t know how long we’re going to live, we believe we should invest as if we will live to 100.  Saving is more of a short term goal usually with a definite purpose (vacation, car etc).  Any money that is needed within 2 to 3 years should be saved in shorter term vehicles such as daily interest savings, GICs, bonds and bond funds.

With so many people having to work from home the time that you save from commuting is a great time to devote that extra time to your family and your long-term goals. This year since I will be in self quarantine for a couple of weeks and working remotely, I plan on using some of my extra time doing some of the projects I’ve been putting off around the house. Between dusting off my home gym (I plan on using it) and cleaning out some of my cupboards, I may actually get back in shape. Getting older and sitting at a desk has made me quite lazy. Having some extra time for myself may be a good thing in the long run. I do try to look at the positive side of everything because if you look hard enough you realize there is always some upside.  We would like to suggest that we also use this time to reflect on what's important to us.  Many of us are caught up in our busy, often frenetic, lives.  Maybe slowing down isn't such a bad thing.  

Until next week. Stay positive.

Linda J. Levesque, CFP^®, FMA, FCSI®

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque
Insurance Advisor

Hollis Insurance

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
linda@levesquewealthplanning.com                                                         

Daniel Fearon, MBA, CFA, CPA(CA)

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
daniel@levesquewealthplanning.com                                                                                           

‘Saving Today for a Richer Tomorrow’®

WANT TO USE THIS ARTICLE IN YOUR WEB SITE?

You can, as long as you include this complete statement with it: Linda J. Levesque and Daniel Fearon, are Senior Investment Advisors and Directors, Private Client Group of HollisWealth®   Linda J. Levesque is an author of The 5 Minute Wealth Plan, Saving Today for a Richer Tomorrow®, in The Road to Success with Jack Canfield and in The Authorities, Powerful Wisdom from Leaders in the Field.  If you're ready to jump-start your life, have more fun and joy in all that you do, get a FREE consultation from Linda J. Levesque and Daniel Fearon. 

This information has been prepared by Linda J. Levesque & Daniel Fearon who are Investment Advisors for HollisWealth® and does not necessarily reflect the opinion of HollisWealth. The information contained in this newsletter comes from sources we believe reliable, but we cannot guarantee its accuracy or reliability. The opinions expressed are based on an analysis and interpretation dating from the date of publication and are subject to change without notice. Furthermore, they do not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors. The Investment Advisors can open accounts only in the provinces in which they are registered. HollisWealth® is a division of Industrial Alliance Securities Inc., a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.

Insurance products provided through Hollis Insurance.

The Mysterious Saga of COVID-19, Driving You Crazy or Keeping the Faith - What's On Your Mind - Third Edition March 2020

It’s easy to lose focus on your long-term goals when it feels like the world around us has gone a little crazy. Given the recent market volatility due to the unknown outcome of COVID-19 (coronavirus) we want you to know what is happening in our world. Our offices have closed for any in person meetings until further notice. Currently we are all working remotely. Those of you who have been with me for quite a while know that I have been conducting business remotely for the past 10 years while I spend part of the winter in Florida. We are equipped and can continue conducting business as usual through telephone, emails, and video conferencing.

Over the next several weeks, our Administrative Assistant Lynette Gonsalves, will continue to book appointments using one of the above options. At any time you can contact us through email or telephone and we will promptly get back to you within our normal hours of business.

In all likelihood, once the markets start to rebound, Canada will probably be headed towards a recession. Given that we don’t have a crystal ball, we won’t know how deep or how long the recession will last until we look backwards at some point in the future.

So what can you do to help yourself and your family get through this period of uncertainty with minimal pain? If you haven’t already you may want to reduce your expenses where possible. Cash will become king. The question you should ask yourself before making large purchases, is this something you need or something you want? Even though the malls are quite empty during this time of social distance, online sales appears to have increased. People are finding more time to shop since they are working from home.

This is the time to keep saving and focus on the future. Remember investors look into the future with faith. We are asking you to keep the faith as we walk the same line into the future with you. As always if you have any questions or concerns we are here to serve you.

Linda J. Levesque, CFP^®, FMA, FCSI®

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque
Insurance Advisor

Hollis Insurance

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
linda@levesquewealthplanning.com                                                         

Daniel Fearon, MBA, CFA, CPA(CA)

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
daniel@levesquewealthplanning.com                                                                                          

‘Saving Today for a Richer Tomorrow’®

WANT TO USE THIS ARTICLE IN YOUR WEB SITE?

You can, as long as you include this complete statement with it: Linda J. Levesque and Daniel Fearon, are Senior Investment Advisors and Directors, Private Client Group of HollisWealth®   Linda J. Levesque is an author of The 5 Minute Wealth Plan, Saving Today for a Richer Tomorrow®, in The Road to Success with Jack Canfield and in The Authorities, Powerful Wisdom from Leaders in the Field.  If you're ready to jump-start your life, have more fun and joy in all that you do, get a FREE consultation from Linda J. Levesque and Daniel Fearon. 

This information has been prepared by Linda J. Levesque & Daniel Fearon who are Investment Advisors for HollisWealth® and does not necessarily reflect the opinion of HollisWealth. The information contained in this newsletter comes from sources we believe reliable, but we cannot guarantee its accuracy or reliability. The opinions expressed are based on an analysis and interpretation dating from the date of publication and are subject to change without notice. Furthermore, they do not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors. The Investment Advisors can open accounts only in the provinces in which they are registered. HollisWealth® is a division of Industrial Alliance Securities Inc., a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.

Insurance products provided through Hollis Insurance.

“This too shall pass” - What’s on Your Mind? Interim – March 2020

“This too shall Pass”.  I remember reading this quote during the dark days of my divorce and it often comes to mind during troubling times.  It is a Persian adage that has been translated throughout the ages to reflect the transitory nature of most things (problems, pandemics, market selloffs, political discourse, famine and strife).

Can anyone tell us what happened to SARS?  Seriously….what happened to SARS?  There was no vaccine.  There was no cure.  Where did it go?  The hazmat suits were on the front page of every newspaper around the planet.  Well now we are with a new Pandemic called the Corona virus (COVID-19).  Only it turns out that it’s not that new and most of us will get it in some form over our lifetime.  This too shall pass.

Media hype, crowd mentality and fear mongering has led to a selloff in global stock markets.  People around the world have ravaged stores shelves of canned goods, bottled water and toilet paper.  Costco has been cleaned out of tissues, wipes and the like.  My partner, Trish, has been there three times trying to pick some up.  Surely this isn’t rational behaviour.  This too shall pass.

The market selloff was one of the steepest and quickest in market history.  Far quicker than I recall when I was sitting at a trading desk in 2008.  Computers, algorithms and servers with automated trading code sitting at the stock market (FYI this is called co-location) now account for a significant (60% to 80%) off all trading activity on any given day.  Market makers who used to step in with bids and support markets during selloffs have been relegated to the bleachers.  Market movements have become instantaneous with corresponding moves in volatility (market gyrations).  Volatility went on a wild ride on Monday March 3^rd reaching levels not seen since 2008.  Account values are down and the psychological discomfort is real.  This too shall pass.

How can we compete with all these machines that seem determined to rock the markets.  We can beat them through diversification, intelligent asset allocation and most importantly time.  We know it’s hard in times like this not to be nervous, anxious or scared.   The physiological manifestations are real….but…. This too shall pass.

Daniel Fearon, MBA, CFA, CPA(CA)

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
daniel@levesquewealthplanning.com                   

Linda J. Levesque, CFP^®, FMA, FCSI®

Sr. Investment Advisor

Director, Private Client Group
HollisWealth®, a division of Industrial Alliance Securities Inc.

Levesque Wealth Planning is a personal trade name of Linda J. Levesque
Insurance Advisor

Hollis Insurance

One Corporate Plaza, 2075 Kennedy Road, 5^th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030
Fax: 416-332-6772
linda@levesquewealthplanning.com                                                         

‘Saving Today for a Richer Tomorrow’®

WANT TO USE THIS ARTICLE IN YOUR WEB SITE?

You can, as long as you include this complete statement with it: Linda J. Levesque and Daniel Fearon, are Senior Investment Advisors and Directors, Private Client Group of HollisWealth®   Linda J. Levesque is an author of The 5 Minute Wealth Plan, Saving Today for a Richer Tomorrow®, in The Road to Success with Jack Canfield and in The Authorities, Powerful Wisdom from Leaders in the Field.  If you're ready to jump-start your life, have more fun and joy in all that you do, get a FREE consultation from Linda J. Levesque and Daniel Fearon. 

This information has been prepared by Linda J. Levesque & Daniel Fearon who are Investment Advisors for HollisWealth® and does not necessarily reflect the opinion of HollisWealth. The information contained in this newsletter comes from sources we believe reliable, but we cannot guarantee its accuracy or reliability. The opinions expressed are based on an analysis and interpretation dating from the date of publication and are subject to change without notice. Furthermore, they do not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors. The Investment Advisors can open accounts only in the provinces in which they are registered. HollisWealth® is a division of Industrial Alliance Securities Inc., a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.

Insurance products provided through Hollis Insurance.