Keeping Calm During a Crisis

By Auxiliary i&i Financial Services Inc., March 1st, 2022

First and Foremost, Our Support

From each and every one of us here at Auxiliary i&i Financial, we want to express our solidarity and support in light of the horrific on-goings across Ukraine.

Our hearts go out to not only the people of Ukraine, but Ukrainian-Canadians, their families, and any loved ones that may be in the country at this time.

We hope that the conflict will come to a peaceful and just conclusion as soon as possible.

Sincerely, The Auxiliary i&i Financial team

Short-Term Volatility, Long Term Safety

Much like with other global market shocks, the conflict in Ukraine is placing some great pressures and uncertainty on global markets, and as always, investors should not make rash decisions when things like this happen.

It is highly likely that what you’re invested in is not going to be directly affected by the geopolitical and military conflict between Russia and Ukraine.

Historical Precedence

Rebounds happen all the time and markets correct themselves, often leading to larger future gains. There are plenty of historical examples where related markets declined drastically within the first year but made significant gains in the following years.

For example, looking at research conducted by Mackenzie Investments, the COVID-19 Pandemic caused a market low in March 2020, dropping -33.9%, but bounced back a year later at +74.8%. Even in 1997 with the Asian Financial Crisis, the markets dropped -8.1% but gained +49.3% and +72.5% in the subsequent years.

So buckle up, relax and hope for the best, and show your support for those affected where you can in these tumultuous times.

 

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