As the Coronavirus continues to impact the global markets, Financial Advisers are at their busiest. But while they tell the public to keep calm and carry on, what are they doing with their own investments?
Are they just as scared and nervous as the rest of us? Are they frantically selling their investments now before the market crashes again? Are they thinking ahead and buying stocks while prices are low? Maybe they are calm because they have insider knowledge that they’re keeping to themselves, to ensure they come through the other side unscathed?
So what exactly are they doing with their own portfolios? Well nothing much really and certainly nothing secretive.
The truth is, financial advisers have seen global market meltdowns before. While events such as the Coronavirus come out of nowhere, Advisers always have contingencies in place to limit negative impacts from economic crisis.
One thing all reputable Financial Advisers will say is “don’t suddenly sell up and convert to cash to safeguard your money” And they’re practicing what they’re preaching. They know the market will begin to return to normality and in many cases produce a positive return on your investments.
They also refrain from constantly checking their account balance. Doing so and watching the figures go down will only cast doubt and lead to impulsive decision making.
The same applies when it comes to checking social media and news outlets for updates. Financial advisers get their Intel from highly reputable sources and they use their knowledge and experience to make informed decisions.
Finally, it’s business as usual. Financial Advisers continue to implement their strategic plan regardless of the market turmoil. Your investment strategy should reflect your long-term goals and objectives and, short-term reactive decisions can negatively impact your fund.
The moral of the story is trust your adviser. The markets will recover and grow. They are not running around like headless chickens yelling “sell, sell, sell” and neither should you!
For more information on how to protect your retirement fund and for a review of your finances, click here and speak to our Retirement Planning Specialist today.