Naturally the market turbulence initiated by the COVID-19 threat has been of concern to all investors.
If we look to similar "wild rides" in the sharemarket (such as during the GFC of 2007/08, see graph), history tells us that the worst course of action can be to sell out when the markets are low, as that will crystallise any market falls. It also means the investor is out of the market when the rebound happens (and rebounds have always followed market downturns). When the bounce in the market takes place, it can be quite dramatic and occur rapidly, so investors who hold firm gain from the market rise.Clients of 5 Financial also benefit from the regular rebalancing of their portfolio, effectively enabling them to "buy low" during market dips.We are currently communicating with all clients to provide information, reassurance and assistance during these trying times. If you would like to discuss your particular situation, please don't hesitate to reach out to your financial adviser who will be happy to help.Further information is being developed, including an online presentation for clients with BlackRock, who will answer the most common questions we are receiving at the moment.Contact us if you would like to learn more or schedule an appointment. An initial appointment is available at no cost or obligation.Please note, the above information does not constitute financial advice and does not take into account your current circumstances or goals. Please speak with a financial advisor before acting on any information found here or throughout the 5 Financial website.