Its no big secret, we are currently in a deep recession. Everything that has happened over the last 2-3 months has hit everyone very hard all over the world. This is the first time I have personally had to experience something like that. I recall the 2008 financial crisis but was not affected by it like a good portion of people. I also was not an investor in 2008 so I had no real clue what was going on. Things like this(NOT covid-19) happen every 10 years or so. It is fairly cyclical for a big recession to happen every 10 years and as a small time investor/consumer there is nothing you can really do about it.
The best way to protect yourself in times like this is to make sure you have a diversified portfolio. I know that Covid-19 has literally hit every single sector except really for grocery. That is basically the only area that has not been hit hard by this. The main reason for that is because if you shut down the grocery stores, how do you get food to eat? You can live without going out to buy a car, go to the theatres, theme parks or spending money going out to eat. Everyone is staying home and making their own food and their own meals. This is bringing in extra business to grocery stores and chains.
I personally have 1 stock that I picked up before Covid-19 hit. North West Co.(NWC), they are a small time North American grocery store chain. I did my due diligence and researched the heck out of their company. I saw that they have growth and potential to expand. Their revenues increase every year as well as their profits. They also offer a very nice dividend that was very appealing to me. As you can note, every single one of my stocks pay a dividend. The only stock that I am also currently up on is North West Co.(NWC).
Part of being a small time investor is being able to take advantage of bad situations like whats going on right now. Looking at the big picture and thinking about what people and consumers need and people have to focus on. There is a reason that netflix and streaming services are having extra good quarters, what else do people have to do at home in times like this? The best thing to think of though is what will happen after this ends? You need to look into those stocks that have been very beat down and can only rely on people going out after everything goes back to normal. Think about what companies will be staying alive long enough to survive and then pounce on it like a lion on a zebra.
That is all for today and remember everyone, invest in yourself first.