At the beginning of the Covid-19 Pandemic, we wrote about how time is more important than timing when investing.
I have been following a particular investment throughout the Pandemic. This investment was of €100,000 approximately 1 year ago, invested in a mix of funds in order to diversify their risk. The portfolio was a medium risk investment.
When the stock markets took their biggest dive, this investment fell to approximately €89,000. If this client had panicked and withdrawn their investment they would have lost €11,000. Today this investment is worth €103,998. That is a great recovery of nearly €15,000 in such a short space of time. This investor is now up nearly €4,000. This is an overall growth of almost 4% in the year, which is much more impressive than deposits which are currently offering negligible returns.
Volatility is a part of investing. It is so important to listen to advice and ride out the volatility. The pandemic was a temporary problem, life is now getting back to the new normal, learning to adapt to life with Covid-19. With every economic downturn comes a recovery, stay tough and wait it out if you can.
If you would like to discuss any of your investments, pensions or options please let us know.
All information provided is correct on 13/07/2020.