We'd all love for the market to go on a tear forever, reaching record highs and blowing minds; but the truth is, downturns are a reality, particularly if you are a long-term investor.
Timing the market is tough, as is basing an investment strategy on economic or market forecasts. But we can do ourselves a favour, both materially and emotionally, by accepting that volatility is a normal part of investing and by sticking to a well-thought-out investment plan agreed upon in less stressful times.
We are sometimes asked about dollar cost averaging when investing client funds and whether this is a good idea. It is certainly something which should be considered, particularly for first time investors, and those whom are introducing a substantial lump sum deposit into their investment portfolio.
Renewed volatility in markets has awoken the investors from summertime slumber.
News directors drag out dated file footage of frantic traders and summon talking-head experts to explain what it all means. Well, what does it mean? More importantly, does it matter?
The financial media is drawn to catchphrases, acronyms, and buzzwords that can be sold as the new thing. FAANG (Facebook, Apple, Amazon, Netflix, and Google) is the latest of these. But does this constitute an investment strategy?
Investors at year-end are inclined to reflect on the 12 months gone and muse on what the coming year might bring.Aware of this appetite for speculation, the media tends to feed it with forecasts. These articles can be fun to read but are even more so a year later.