Life as we know it has been turned upside-down. With the devastating impact of the coronavirus on people and their lives and livelihoods, everyone is wondering how they are going to get through the year and what the future holds.
Covid-19 has been catastrophic financially for many Americans Once the virus hit, every single American lost, on average, $22,313 apiece from the stock market correction in a mere two weeks. Research shows that $7.3 trillion in value was wiped from the total stock market since Feb. 19, 2020. If you are unsure of what to do, you are not alone.
President Trump officially declared a national emergency on March 13, 2020. In just three weeks after that, more than 15 million Americans had lost their jobs. The impact is being felt all over our nation with families being hit hard everywhere. Boomers are also being struck, but in more ways than one. They are more vulnerable to the disease and could be facing big medical costs if they contract it, or even worse -- they could die.
If they make it, however, research suggests that tough times are ahead. Any late Boomers who lose their jobs in a coronavirus recession could be in for a serious lifestyle adjustment. Many have not saved enough and were slammed by the Great Recession. During the 2008 market crash, about 5% of those 55 and above dumped their 401(k) investments and tried to get what they could at the time, but later they missed the rebound and effectively lost money they could have gained.
The pandemic we are dealing with will be bad news for America’s Boomers. If the Wuhan death rate of 5.8% is reached in the United States, we could be facing over four million Boomer deaths -- that's Boomers only, not counting people of other ages. Even if we only hit 2.3 percent, for Boomers, that works out to 851,000 fatalities.  That is a massive number given that the number of Americans killed in World War II is less than half that.
Many Americans are feeling stressed about finances and what things will be like. Get advice from professionals if you are worried about your investment portfolio or are considering your financial options in this stressful time. Making rash decisions under duress is not a good idea.
Keep in mind that during a market downturn, getting good financial advice and making smart money decisions is vital to stay ahead and survive the storm. Get on a video call with your broker or advisor and stay connected. Focus on the best solution to the problem, and re-evaluate as you go. Things are tough right now for us all but becoming bogged down in panic won’t help you succeed.
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