CoV19 – an assessment by Klaus Wellershoff
There are always moments in history that we collectively remember. Whether the fall of the Berlin Wall, 9/11 or Lehmann Brothers, even years later we still know how these events affected us. The current corona flu appears to be the most recent experience in this series.
What is common to all these events is that they permanently change our behavior. It is not that this changes our goals, but we remember what is important in life and what is not. We give up bad habits and adapt to what seems contemporary and correct.
It is precisely this quality of such collective experiences that must make us think. After the corona flu, it will not be the same as before the corona flu. This does not speak for a V-shaped reaction of the economy and the financial markets. That speaks for a structural break, possibly even for a recession, but above all for accelerated change to be expected in our society.
Anyone who has taken the time to think carefully about their own wealth architecture in the past few years should be well prepared to cope with the material consequences of this crisis. Solid investment regulations and competent implementation are the key to being able to concentrate on the essentials of life with one less worry. And that's usually not the material aspect of life.
Once again it turns out that it is not important to make forecasts. Virtually all of these events were unpredictable. It is all about preparing for the future.
Klaus W. Wellershoff, March 2020