{"id":6523,"date":"2020-07-09T10:25:55","date_gmt":"2020-07-09T15:25:55","guid":{"rendered":"https:\/\/schenkelberg.investments\/?p=6523"},"modified":"2020-07-09T10:26:09","modified_gmt":"2020-07-09T15:26:09","slug":"the-eye-of-the-storm","status":"publish","type":"post","link":"https:\/\/schenkelberg.investments\/?p=6523","title":{"rendered":"The Eye of the Storm"},"content":{"rendered":"\n

Have you ever ridden the Tornado-like amusement park ride where you stand\nagainst the wall and when the ride takes off it spins in circles so fast you\ndefy gravity while your view appears to stay still in one central blur? It\u2019s\nbeen well over 30 years since I\u2019ve ridden this ride because, quite frankly,\njust writing about it makes my stomach turn. When I look back on the market for\nthe past four months, this ride seems to emulate what we have been through much\nmore accurately than a roller coaster (a typical comparison for the stock\nmarket).<\/p>\n\n\n\n

Much like the eye of a storm, we all stood still for a moment while chaos\nseemed to swirl around us. Activities ceased while we all rediscovered time at\nhome. There have been many times a lot of us have wished for a month at home.\nAnd, in many ways, it was exactly what we were looking for\u2014a time to catch up\non home projects, spend time with immediate family, catch up on reading or\ncomplete a puzzle. For my family, it was valuable time spent with our teenage\nchildren. Dinner together, games and shared memories don\u2019t come along every\nday. <\/p>\n\n\n\n

Anxiety also existed in the midst of all of this\u2014the amusement park\nfeelings invoked by the fear of sickness, uncertainty of job status and yearning\nfor time with relatives and friends who do not live under our roof. This\nunstable feeling could not be illustrated better than the chaos that ensued\nwith racial tension and riots during this uncertain time. Human feelings are an\ninteresting phenomenon. It is very difficult to sit in the eye of a storm and\nnot do anything.  <\/p>\n\n\n\n

As we emerge from the shelter of the storm we need to look at rebuilding.\nWe assess the strengths of the economy, our personal strengths and the pieces\nwe have around us to put them all together. This may mean rethinking our career,\nwork\/life balance or recognizing where we want to spend time in general.<\/p>\n\n\n\n

The chart below is the price of the S&P 500 index from December 31,\n2019, through July 2, 2020. While it looks a lot like a tornado that has\ntouched down, it also shows a path of recovery that can come for all of us as\nwe rebuild following our moment of stillness. <\/p>\n\n\n\n

The S&P 500 achieved a positive 19.95% quarterly return, to mark its best second quarter return in history. As we have discussed, the stock market is forward looking. While we may remain in the throes of rebuilding, we can be optimistic that the pieces are coming together. The sun is peaking through the clouds following the storm. <\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n
\"\"<\/figure>\n","protected":false},"excerpt":{"rendered":"

Have you ever ridden the Tornado-like amusement park ride where you stand against the wall and when the ride takes off it spins in circles so fast you defy gravity while your view appears to stay still in one central blur? It\u2019s been well over 30 years since I\u2019ve ridden this ride because, quite frankly, […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[122,119,123],"tags":[],"class_list":["post-6523","post","type-post","status-publish","format-standard","hentry","category-financial-planning","category-market-commentary","category-market-performance"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p7kXxe-1Hd","jetpack-related-posts":[{"id":6554,"url":"https:\/\/schenkelberg.investments\/?p=6554","url_meta":{"origin":6523,"position":0},"title":"Five-Year Anniversary","author":"J.J. 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What\u2026","rel":"","context":"In "Financial Planning"","block_context":{"text":"Financial Planning","link":"https:\/\/schenkelberg.investments\/?cat=122"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2021\/04\/AUM-Chart-041221.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2021\/04\/AUM-Chart-041221.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2021\/04\/AUM-Chart-041221.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2021\/04\/AUM-Chart-041221.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":6534,"url":"https:\/\/schenkelberg.investments\/?p=6534","url_meta":{"origin":6523,"position":1},"title":"Market Update – Third Quarter 2020","author":"J.J. 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Investopedia describes diversification as follows: \u201cA diversified portfolio contains a mix of distinct asset types and investment vehicles in an attempt at limiting exposure to any single asset or risk. The rationale behind this technique is\u2026","rel":"","context":"In "Market Commentary"","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/07\/Pie-Graph.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/07\/Pie-Graph.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/07\/Pie-Graph.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/07\/Pie-Graph.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":6028,"url":"https:\/\/schenkelberg.investments\/?p=6028","url_meta":{"origin":6523,"position":3},"title":"3rd Quarter 2016 Market Update \u2013 Calm Before the Storm?","author":"J.J. 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