Looking back at the markets through July

A selection of articles looking back through the markets last month. Global Market Review  The other “R” number … Recession Early in July, investors were buoyed by news of progress in the development of coronavirus vaccines. However, as the month continued, optimism was tempered by a surge in infection rates in countries including the US, … Continue reading “Looking back at the markets through July”

Is retail investor surge cause for caution?

With a combination of resurgent markets, seemingly ebullient retail investors and a bleak economic outlook, it may be prudent to tread carefully. It’s an old investment cliché that when your taxi driver starts giving you share tips, it’s time to sell. As someone who has been on the receiving end of cabbie investment advice during … Continue reading “Is retail investor surge cause for caution?”

Why do markets rise even when the outlook is bleak?

The global economy is on track for its worst recession in nearly 100 years, yet April was the market’s best monthly performance in three decades and they continued to rise in May. Why?  The first quarter of 2020 has been tough for the global economy in the midst of the coronavirus pandemic. For example, a … Continue reading “Why do markets rise even when the outlook is bleak?”

Covid-19: the inescapable truths faced by investors

Investors will need to be more agile than ever as Covid-19 reinforces many of the trends driving the world economy prior to the outbreak. “At the beginning of the plague, when there was now no more hope but that the whole city would be visited; when all that had friends or estates in the country … Continue reading “Covid-19: the inescapable truths faced by investors”

Oil price shock: the implications

The Coronavirus outbreak has caused widespread disruption in equity and bond markets, but it has also had some major repercussions for the oil price. This week, the cost of a barrel of oil turned negative for the first time as demand plummeted. That means oil producers are paying buyers to take the commodity off their … Continue reading “Oil price shock: the implications”

Looking back at the markets through March

A selection of articles looking back through the markets last month. Global Market Review March Meltdown The extended bull run came to an abrupt end in March as the coronavirus continued to spread into Europe and America, and a collapse in confidence pushed share indices into bear-market territory. Investors suffered exceptionally high levels of volatility … Continue reading “Looking back at the markets through March”

Coronavirus to spark “severe” global recession

The coronavirus is having a severe effect on global economic activity and amidst considerable uncertainty we have attempted to gauge the impact and updated our forecasts. We now expect to see the world economy contract this year by 3.1%, before rebounding by 7.2% in 2021. The forecast incorporates a severe recession in the first half … Continue reading “Coronavirus to spark “severe” global recession”

Looking back at the markets through February

A selection of articles looking back through the markets last month. Global Market Review Investors take fright as coronavirus takes hold As the spread of coronavirus gathered pace across the world during February, investors became increasingly concerned that the economic impact could trigger a global recession.  “Central banks are coming under pressure to respond to … Continue reading “Looking back at the markets through February”

Coronavirus: assessing the risks

The novel coronavirus (COVID-19) that emerged in China’s Hubei province late last year has now spread to more than 50 countries. The outbreaks in Japan, Korea and Italy are particularly serious, but the number of cases is climbing rapidly elsewhere. Initially, the stock market’s reaction to the virus was muted. Most investors appeared to believe … Continue reading “Coronavirus: assessing the risks”

Don’t lose your investment marbles in emerging markets

If one of your investments jumped 3,800% in less than a year how happy would you be? Ecstatic, probably. Now imagine how you would feel if 98% of these gains evaporated within a short few minutes. Utterly terrible, I’m sure. Well, that’s exactly what happened to shareholders in Hong Kong listed ArtGo last month  – … Continue reading “Don’t lose your investment marbles in emerging markets”

How does geopolitics impact investment returns and what can you do about it?

Schroder’s economists have analysed the effect geopolitical risk can have on investors’ portfolios. Should investors simply hold their nerve during volatile times? Or is it better to entrust fund managers able to take a more dynamic approach? Geopolitics can significantly impact investment returns; whether it’s trade wars, actual wars, populist politicians or terrorist attacks. Geopolitical … Continue reading “How does geopolitics impact investment returns and what can you do about it?”

What lies in store for equities?

The first half of 2019 was characterised by the strongest and most broad-based asset price reflation that we have seen since 2009. It is clear that this pace of gains cannot continue through the second half of the year. Bad news has been good news for stock markets for quite some time.  That’s because investors … Continue reading “What lies in store for equities?”

Reasons to be positive on equities

Investors are quite rightly nervous after sharp market falls in the final quarter of last year. However,  that it’s not all doom and gloom. In fact, there are reasons to be positive. Equities are discounting a recession that is unlikely to happen. Although growth is certainly slowing down, none of the world’s major countries are … Continue reading “Reasons to be positive on equities”

29 reasons not to invest in the stock market

Wars, disasters, economic strife and political instability have been persistent themes over the last three decades and they can affect people’s attitude towards investing. In many cases they make an already tough decision to part with your money and invest even harder, leading some to not invest at all. Behavioural scientists have a name for … Continue reading “29 reasons not to invest in the stock market”

Market Turbulence

Market falls never feel pleasant, but for those with long-term investment horizons there is no need to panic. Fluctuations, sometimes significant ones, are to be expected during the course of investing; and for those requiring the assurance of no fall in capital the only asset class that can be considered is cash. This is the … Continue reading “Market Turbulence”