Many of us realised that life was not going to be easy after most of the COVID restrictions were lifted, but of course we did not know there was going to be a war in the Ukraine. This has impacted the equity markets, whilst inflation concerns and rise in interest rates have affected corporate bonds and gilts, which in turn affect investments.
As I have said previously, my advice remains that when an investment has fallen in value, don’t panic, sit tight. I always think that observing the percentage drop is always less frightening than looking at the monetary drop. When markets are down it is generally a good time to invest, as Warren Buffet said, “Be fearful when others are greedy. Be greedy when others are fearful.” I always think the biggest concern with this is that you don’t know how far the markets are going to fall.
With energy bills soaring, interest rates on the rise and when even trying to escape from it all on holiday has its own problems, noticing that your investments are going down could be even more depressing, and that’s why I believe that talking to a financial adviser is even more important during this difficult period. We can hold your hand through times like this. As I have often said, I perceive that our most important role is being a sounding board, which brings to mind another famous proverb, “A problem shared is a problem halved.”
We offer a free without obligation consultation, so if you would like to talk to someone concerning your investments why not pick up the phone and give us a call.
The value of an investment can go down as well as up so you may get back less than you have put in. Past performance isn’t a reliable indicator of future performance.
