‘Balance’ and Action Points
Our investment clients are receiving the updates that we provide, with positive emotions – firstly relief, moving to feelings of confidence and becoming more relaxed – based upon the summaries from the recent ‘periodic reviews’ carried out.
We must be mindful that investment markets are skittish and unpredictable at the best of times, so the markets will remain nervous to news flows or in other words, using investment ‘jargon’; volatility without a medical solution of a vaccine being concluded.
(Today the markets have received the news of a major ‘breakthrough’ as UK scientists find a £5 steroid cuts Covid-19 deaths; click the link to read the article:
https://news.sky.com/story/coronavirus-12007880
Economic Data
The economic data is likely to deliver bleak news flow for the foreseeable future, with specific sectors impacted for years to come – maybe requiring a business evolution or the business dying a death of a thousand cuts.
Click the link to read a previous article related to ‘The Widening Economic & Investment Market Gap’:
https://www.bestpricefs.co.uk/blog/the-widening-economic-investment-market-gap/
We have witnessed recent market bullishness – driven by positive sentiment, rather than the investment market fundamentals, which finally delivered a ‘pull back/correction’ when global equity markets became over bought. Markets are stronger again today following the Federal Reserve’s confirmation that they will buy individual corporate bonds – providing increased liquidity (along with the good news of today’s steroid results).
Clearly, this action is a Double Edged Sword – as it provides liquidity which is positive for Investment Markets but it also confirms the need for financial support at levels never seen before!
A more optimistic outlook from professionals
In a research published by Investment Manager – Natixis – yesterday (June 15th) the data found professional advisers are optimistic for a speedy market recovery.
Click the link to read the article written by Rachel Mortimer for Financial Adviser:
https://www.ftadviser.com/investments/2020/06/15/advisers-optimistic-for-speedy-market-recovery/
We recommend you take the time to read the article.
Yesterday, non-essential shops re-opened, we are seeing the airlines start their routes (albeit with very low numbers), so the ‘lockdown world’ as we have experienced over the last 3 months is re-starting.
We must all understand that the ‘greasing of the wheels of commerce’ will face challenges, adjusting to queues, social distancing and, from what we have seen, ‘fisticuffs’ when battling for space and products!
A test of culture and good conduct is apparent.
Opportunity
The performance chart of the FTSE 100 provides clarity of the longer term ‘opportunity’ for investors – where most analysts now consider the worst has passed….
Only time will provide clarity to this dilemma.
Best Price Financial Services Solutions
We know that our Risk Adjusted Investment portfolios have delivered exceptionally for our clients and we know from the periodic reviews conducted to date that investors are ‘suitably positioned’ in respect of risk and meeting their risk profiling and overall financial needs.
This is reassuring to both sides of the ‘team’ – so, with the added effort, going that ‘extra mile’ with personal contact, we are sure that our clients are well positioned and assured that they are able to face the outcomes of economic turbulence that we expect to continue.
Click the link – ‘Going the extra mile’:
https://www.bestpricefs.co.uk/blog/update-going-that-extra-mile/
We are asked by new investors what we do differently
Firstly, as passionate Independent Financial Advisers/Planners, our first motivation is delivering a ‘suitable investment’ outcome for our investment clients.
We are able to select investment products and solutions from the investment universe – not a walled garden of average fund solutions.
We select ‘best of breed’ assets to fit our clients’ investment needs, which vary from defensive to full equity risk, as we understand each client has different needs, goals, objectives and risk tolerances/risk capacity.
We select investment solutions agnostically, following a level of Due Diligence that provides suitable outcomes – measured to comply with investors’ expectations. We cannot predict investment market outcomes – but we certainly can and do produce portfolios that deliver (surpass expectations) based upon the use of the best in class/breed investment solutions – at Best Price FS.
What we know… or what is evident from research
According to Dynamic Planner – the process of Financial Advice – following a risk profiling process provides a positive impact at a time of crisis.
Louis Williams – Head of Psychology and Behavioral Insights at Dynamic Planner said:
“Early findings show that, generally, those who had worked with a financial planner were more resilient, had higher levels of positive emotions and self esteem and were more confident in their abilities to manage their finances”.
Qualities of stability and resilience are what we must endeavour to deliver to investors – when we collectively face periods of adversity.
We often see prospective clients’ portfolios that are poorly constructed, taking substantial investment risk – delivering substandard outcomes; some investors are ‘closed minded’ to the facts….
We love our ‘facts’ – as facts provide clarity and awareness; after all, investing requires risk control – otherwise a mess appears in times of crisis. We dislike a mess….. It’s nasty!
We are taking the ‘review’ time to reinforce the need for team work and for our clients to call us. If they have worries, concerns or a need for change with their planning.
We certainly ‘go the extra mile’.
Messaging
Where investors are able to invest further for the long term, consider investing further during the dips/pullbacks.
A wise man – Warren Buffett – states “Be greedy when others are fearful” – of course this action must be considered in relation to your personal needs and circumstances.
We are here to assist, support and professionally advise our clients. Get in touch if you require help.
We wish you and your families the very best of health and happiness.
Best Wishes
Richard and the Best Price FS Team