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Bernardo Wealth Planning

March 5, 2020

Market Commentary – March 2020

Each month we highlight voices we respect from around the marketplace.  Here’s what they’re saying in regards to the coronavirus and its global and economic impact… 

  • The U.S. economy will take a hit, but a recession still looks unlikely. U.S. economic data over the past couple of weeks remained solid, but that will be the last data that doesn’t reflect the impact of the coronavirus. Ultimately fear, panic and virus countermeasures will determine the scope and length of economic damage. The downside risk is the scope of the crisis is very difficult to predict and cannot be managed by changes in political, fiscal or monetary policy. The upside is that coronavirus economic damage is not likely to be a long-term recurring economic risk like a rise in tariffs or mounting protectionism.  Read more…  – Bob Doll, Nuveen
  • The value of long-term assets depends on long-term economic performance. 2020 may be the year of the virus but the value of bonds and particularly stocks depends only to a small extent on the current year and much more on what happens in the years and decades ahead. The most important question in personal investing is never “when” but rather “what”, and investors should consider whether their portfolios are constructed both to weather the problems of 2020 but also to benefit from an inevitable rebound as the calendar moves forward.  Read more…  – Dr. David Kelly, J.P. Morgan
  • Global markets have been gripped by fears over the impact of the epidemic. …We see the drag on economic activity threatening to push some developed economies – such as Japan and the euro area – toward the brink of a technical recession (defined as two consecutive quarters of economic contraction), even though we don’t foresee a recession in the U.S. or globally.  Read more…  – BlackRock Investment Institute

As always, we continue to believe that one’s circumstances and risk profile should determine the appropriate mix of investments, and not media headlines. Please contact us if you ever have any questions or concerns about your accounts or any news you hear.

Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that the future performance of any specific investment, asset class, or investment strategy (including the investments and/or investment strategies recommended by the adviser), will be profitable or equal to past performance levels.  Information in this commentary is gleaned from third party sources, and while believed to be reliable, is not independently verified.

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This material does not provide individually tailored investment advice. It has been prepared without regard to the individual financial circumstances and objectives of persons who receive it. The strategies and/or investments discussed in this material may not be suitable for all investors. Bernardo Wealth Planning recommends that investors independently evaluate particular investments and strategies, and encourages investors to seek the advice of a financial advisor. The appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives. © 2016 Bernardo Wealth Planning

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