What to Make of Coronavirus

After the 450 point drop in the market we put together the attached note on the Coronavirus and where we are. The truth is, no one knows how this is going to play out.

That said, we reviewed other periods where we had global pandemics: SARs in 2003, H1N1 in 2009 and Ebola in 2014. In each case the market sold off, though we did not enter a bear market and we recovered quickly when the disease was contained

Thanks mostly to the trade wars, we do not have much exposure to China, which saw more than 1% shaved off of GDP due to SARs. We will be paying close attention to the virus and how this develops but at this point, it is likely premature to make any responsive investment actions.