Investments Ireland and market turmoil

This week in Investments Ireland we face the market turmoil that has prevailed for the first six months of 2022.

We have all witnessed frightening geo-political developments, some with tragic human consequences.
We hear of soaring prices and interest rate hikes.
What impact does all of these events have on the ordinary investor?
What should you do? Will your retirement fund be affected?
Are their lessons from history that we can learn from?

Investments Ireland, the basics.

Most investments (including pension funds) have an element of exposure to stock markets. (AKA, Shares or Equities).
In the long term such investments have performed well.
In uncertain times (like now) Stock Markets can fall sharply.

Stock Markets are down this year and the S & P 500 Index is now in “Bear Market” Territory.
Bear Markets mean that an index has fallen by more that 20%.
The S & P 500 index is used as an indicator to the general mood of things in the investment world.
This means that many peoples’ investments or pensions will have fallen in value this year.
There is no way of knowing when markets will recover.

Markets may have changed in the short term but that does not mean your investments, or strategy was wrong.
Making rash decisions now could adversely impact your investment.
History tells us that those who stick with their investments through the tough times recover quickest.
Although every individual’s situation is unique, the general advice is; when markets fall stay invested.
Speak to your financial advisor before making any decisions, particularly during a period of turmoil.

Investments in Ireland (and worldwide) are experiencing major turmoil after many years of mainly benign conditions.
History tells us that markets will recover, although no one can say when.
Stay invested if at all possible.
Talk to your local Financial Broker. He or she can help you to navigate the choppy waters of 2022.

REMEMBER: Investments can go down as well as up and most are not guaranteed.

McCann Financial Consultants Ltd, trading as O’Sullivan Financial Solutions is regulated by the Central Bank of Ireland.