Looking ahead – investment after lockdown
We appreciate that 2020 has been a rollercoaster ride for our clients and we would like to thank you all for your patience and calm during this period. We are pleased to report that the portfolios continue to perform strongly and since the 5th April, are all reporting double digit percentage growth.
Looking ahead – the markets
Over the next few months we will have a clearer picture of the state of the economy and different companies in the “new normal”. In truth, like any recession, the companies that emerge will be stronger, more profitable and have greater pricing power, meaning that markets should maintain an upward trend.
Of course, there are risks and we should not forget that a trade deal with Europe still needs to be completed and the huge COVID-19 debt will mean rises in taxation. Overall, the UK is well placed to recover, with a flexible economy, a history of strong job creation and a stable government which has a further 4 years until a General Election.
Looking ahead – your needs
Whilst we expect an upward trend, we also expect continued volatility in markets. For long term investors this is not an issue, but if you have any one-off planned expenditure within the next 12 months, please inform us as soon as possible.
We also appreciate that your future plans may have changed, as many people seem to have used the time during lockdown to consider their priorities in life. If this is the case, please contact us so we can help ensure that your financial strategy reflects your plans, talk through any issues such as tax or sustainability of income and where appropriate, make changes.
Looking ahead – for others
As we wrote the words “companies that emerge will be stronger, more profitable,” we remembered that people are losing their jobs and not all companies will survive. This will mean personal hardship for many and whilst we hope that this will only be for a relatively short time, we know that financial difficulties can be some of the hardest issues to deal with. We would like to offer our assistance to your friends and family who may need help, whether this is by ensuring they are talking to the right people or helping them structure their finances until things are better. Please pass on our details if you feel it is appropriate.