The past week has seen some extraordinary moves in financial markets as the coronavirus situation spreads westwards to infect populations and economies closer to home.

Although portfolio declines are worrying, it is worth stressing again that strategies with limited exposure to stock markets are benefiting from good exposure to fixed interest markets.

Portfolios at the upper end of the risk spectrum, which have fuller commitments to stock markets, are being impacted, but good commitments to overseas markets are offsetting some losses.

We believe the key to navigating these troubled times will be to look beyond the short-term turbulence and emotional reaction in the markets, and gauge what economic and market impact the virus outbreak will have on the medium to longer-term. Last week’s market falls, inspired by a price war breaking out in the oil market, provided an opportunity for investors to remember the long term objectives for investing in the first place.

We are in a period for calm heads, when it’s important not to be bullied out of owning what fundamentally are sound business stocks. 2008-2009 provided the last major market crash, which was followed by years of sustained investment growth. This is a time to stick by investment decisions and ride out the market volatility over the coming months.

How We Can Help
TC Group will continue to monitor the situation, providing expert guidance through the changing circumstances over the coming weeks.

Please Contact Us Now
We are committed to helping guide you with confidence through this period of uncertainty. Therefore, if you would like to discuss your current pension or investment planning, we would be happy to arrange a free initial meeting with one of our financial planners.