Have You Hit Bottom Yet?

It is hard to believe what is happening in our world these past few weeks. Conferences, major international sporting events, schools are cancelled and even our country’s borders are being restricted. Provinces have declared states of emergency while most people are now working from home where possible. Many businesses are shut down to guard against infection of Coronavirus which is wreaking havoc on the economy.

The end of February saw the sharpest 7- day decline in the history of the stock market. Markets go through downturns, corrections and even crashes for many different reasons. In 2008, it was the housing crisis, prior to that, we had the technology bubble and 9-11, so a 30% loss is not really anything new. Ron Blue, the founder of Kingdom Advisors says, “Fear is a normal human response to economic uncertainty.” I have heard it said that “It’s different this time and what we are experiencing now is unprecedented,” but the fact is, “Economic uncertainty is certain.” The reasons for the uncertainty are always different, but the response is the same every time: fear and panic.

The Bible instructs us to “Be anxious for nothing” yet, fear and panic is the typical and natural response. It was even this way in the time of Jesus. Think of the disciples in their boat in the midst of the storm – they were in panic mode, “But Jesus was sleeping!” (Matt. 8:24b). Jesus was in a different place, yet, he was in the same boat as the disciples who were fearful. He was emotionally and spiritually secure, resting despite being tossed by the wind and waves just like the disciples. Jesus said they had “little faith.”

Back to the markets for a minute: Bob Doll, Chief Economic Strategist, said on March 16 in his commentary, “We think stocks are bottoming, but that process will take some time.” I recently heard him say the market making a bottom is not an event, it’s a process. I expect the same is true for us; when we are in the midst of fear and panic, the move from there (place of fear) to faith and confidence is a process, not an event. 

Phil. 4:6-7 instructs us to “bring everything through prayer & petition, with thanksgiving.” I believe this is the process that moves us from being anxious about everything to the peace which surpasses all understanding, where our hearts and minds are guarded and we can sleep in the storm.  Part of that process is thanksgiving. How are we thankful today? If you have suffered a paper loss on your investments in recent days, you may not be happy about it, but you can certainly be thankful that you have those investments (many have no investments and would love to have your losses because it means they at least have investments).

It is easy to quote a Bible verse and feel we get it, but in reality, getting to that place of rest and peace is a process, a journey. Being thankful is part of that process and it seems that crisis is often part of that journey, at least from my experience. 

Please look at this graph below. Where would you graph yourself today?

Now go back to early February 2020, when things were much more stable, markets were making new highs and there were just whispers of Coronavirus. Would you graph yourself differently?  Our circumstances tend to shift us from faith into fear, then we tend to bottom out and the process of making a bottom (like in the markets) begins. That typically means we bounce from “mostly fearful” to “some fear,” maybe back to “mostly fearful” until some truth enters our hearts and we move to “neutral.” Then more toward “some faith,” maybe back to “neutral” but the more truth enters, the more “faith-filled” we become. That process in the market is very much like the process of shifting us away from “mostly fearful” and closer to that place where “the peace of God which surpasses our understanding will guard our hearts & minds.”

If you are a financial advisor, you have the opportunity to walk with your clients through this process. In the midst of self-isolation, pray for opportunities to strengthen and encourage others to move away from the fear that so easily fills our hearts. Once you get to that place of faith, circumstances tend to have less and less of an impact and we can remain strong. This is what it means to “walk by faith and not by sight,” (or the circumstances around us). Getting to that place is a process!

Where are you in the process? Closer to “mostly fearful” or “faith-filled?”