The Coronavirus pandemic has significantly impacted the performance of world markets, and there is ongoing speculation as to what form the recovery will take. Understanding how the global economy is faring, and what steps to take to maintain control of your investment strategy is vital in order to ensure your portfolio is well positioned for the future.

Our recent webinar considered where markets are today and how the global economic outlook may evolve over the next two years and beyond. It also touched on the key considerations to bear in mind when managing your investment strategy. Our speakers were Julian Broom, Chief Investment Officer at The Fry Group and Gary Dugan, CEO of Purple Asset Management.

Although it is difficult to remove emotions during times of market volatility it is important to focus on the positives, take a long-term approach and look ahead to better times. Indeed the green lights of world economies, particularly in Asia and mainland Europe, are beginning to go on.

Now that the initial panic in world markets has somewhat stabilised, encouraging signs are developing. These have been helped by the work of governments and central banks in providing the right financial support; a massive liquidity exercise. Although much of the market’s recovery will be linked to a vaccine or treatment for the virus, reasonable signs of growth should be apparent in the next 18 months.

In facing the next period it’s important to remember that markets anticipate the future, they don’t live the day. Remaining engaged with both the markets and your investment portfolio is vital throughout turbulent times. Holding your nerve can be difficult, but rest assured that markets can – and always do – recover.

As a result a long-term approach, taking into account some diversification in your portfolio and your own appetite for risk, is prudent.

For advice about any aspect of financial planning please contact your nearest office.

Julian Broom, Chief Investment Officer

This entry was posted on Tuesday, 12th May 2020 at 2:36 am and is filed under Financial Planning, Investments, News. You can follow any responses to this entry through the RSS 2.0 feed.

Tags: investment, recovery, world markets