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.
Investments Ireland, 2022, the story so far.
- 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.
So What Should You Do?
- 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.
Conclusion: Investments Ireland and Market 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.
- Feel free to email: http://Donal O’Sullivan <firstname.lastname@example.org>
- Or just call Donal on 087 2617495…
See our recent article regarding investments here: https://osullivanfinancial.ie/investment-opportunities-2/
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.