The Dow Jones Industrial Average and S&P 500 each dropped 12% and 11% for the week, respectively, marking their worst weekly performance since the financial crisis. The CNN Fear and Greed index, which spans from 0 to 100 dropped to Extreme Fear levels.

My investing strategy is not to try timing the market. I know people who have been afraid of investing since 2009, and they have waited on cash in the bank. Well, they missed on several hundred percents of potential gains. They could easily have a few times more money now.

So what I do with my new saved money? I buy more shares of companies with the most growth potential. The same time, I sell positions I no longer think are the right choice for the future. So, when the prices of some companies went down 15% or 20% in comparison with the price just two weeks ago, should you sell or should you buy? Do you prefer to buy a nice pair of jeans when it is for full price or when the same pair of jeans just went on sale?

Let's ask Warren Buffett, who is considered to be one of the most successful investors in history, what he thinks about it. In a recent interview with CNBC, 89-year-old Berkshire Hathaway CEO Buffett said he had been a net buyer of stocks every year since he was 11, a period which has seen 14 US presidents.

Should we be afraid? Is it the right time to buy good businesses on the cheap? Of course, I would be glad if I sold before this panic selling happened in the stock markets. But in this year alone, 2020, I am still up 6.5% on my Polish investments versus Index WIG went down 14.8%. Here are the charts of my most significant positions from the Polish stock market. Alphabet, Facebook and Apple stocks were on the current levels just two months ago. What is positive news is that every day there is more recovered than es. The mortality is high only among older people. Also, fear and greed index on such a low level is a contrarian indicator.

Maybe properties then? As you can see, the property market in Swindon where I live is in decline. I expected that because of Honda company living Swindon as well as less demand for properties because of Brexit.

Let's think about my biggest positions – Alphabet and Facebook. Yes, the slowdown in the economy can make companies spend less on advertising. But have in mind that with the effectiveness of Facebook advertising, companies will rather cut on costs of print or TV advertising. Facebook shows quite relevant ads because it knows a lot about the person using the platform. So that is why it is much better than TV or print advertising. You see only ads which are related to what you can be interested in buying. For print advertising or TV, it is not possible to target an advertisement into a specific person.

Also, Facebook and Alphabet may benefit from people spending more time on the internet while they stay home avoiding potential infections. If people stay indoors, they use Facebook, or they watch YouTube. It means that such internet companies should do relatively well.

Apple can be more affected by the coronavirus. It is both because of its supply chain in China and because of fewer devices being sold in China. I will make a more detailed analysis of Apple company in the next video. So subscribe if you do not want to miss it. Apple is almost 30% of Warren Buffet's stock portfolio. I feel very comfortable with having 10% of my wealth invested in this great company.

Then let's look at my Polish companies. The biggest positions are stocks of four gaming developers. I also do not see too much of danger here. People spend time indoors; they spend more time playing games.

And then my Chinese exposure. You can look at the charts for both companies. Even though the share price of many Chinese companies went down significantly, my shares of Alibaba and Tencent are doing well.
Their products are very deep into the lives of Chinese people.

First, I sold some shares of CD Projekt and Playway gaming companies. Then I bought more Facebook and Lyft shares.

Finally, I increased my stake in Tencent on Monday. I sold my small exposure to Vedanta. And I bought more shares of Playway and TenSquareGames. As you can see, I increase exposure to my winners.

Ryanair, Delta Airlines and Carnival could grow nice when the whole virus spread stops.



Music: Leonell Cassio



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Please note I am not a regulated financial advisor, and so any help will be non-advisory. If you are unsure of the suitability of any investment, you should seek professional financial advice.