Covid-19: What does it mean for your finances?

We are living in unprecedented times and, whatever your personal and political views on how the situation should be handled, there is a great deal of concern over what the future holds. Health should of course remain our number one priority, but we still need to live and to do that, we need money. It would be wonderful, but perhaps naïve, to think that we were all able to simply not worry about our finances and remain healthy while we all wait for it to blow over.

That being said, when it comes to our savings and investments this is exactly what we should be trying to do. Seeing the stock markets plummet can cause panic and make you question whether you should take out what you have before it drops further in value. This is the absolute worst thing you can do! While the situation we face today with Covid-19 is new to us, dramatic falls in the value of our funds is not. What history has told us, is that the stock markets will always recover.

Being fearful is totally natural, but this is when people make mistakes from which they can sometimes never recover. We are here to advise you on how to avoid making those mistakes. Rest assured, our own families’ life savings are invested in the same portfolios as yours, so we’re feeling every drop of the market movement right along with you. Through all the panic though, know that these portfolios were set up correctly from the very first day. They are globally well diversified and fit for purpose through all market cycles. As such, we don’t need to react to this latest market crisis, we just need to ride the storm.

Sit tight, wash your hands and follow the advice given to remain healthy and to protect those who are more vulnerable at this time.  When everyday luxuries such as visiting the pub or going to the cinema are at threat of being taken away from us, it can make you realise what you have in life, and what you need to be happy. We may soon be forced into spending more time at home, wondering what really makes us tick. This is an opportunity and it is exactly why lifestyle financial planning is so valuable! By contemplating what we want out of life, we are looking to the future and are in a better position to craft it in the way that we desire. There will be a future, and we can still control how we want that future to look.

We are all still here to talk to you if you have any concerns during this time. While face-to-face contact may have to temporarily be reduced, we are only ever a phone call or an online video chat away. Please feel welcome to contact us at any time.

Articles on this website are offered only for general informational and educational purposes. They are not offered as and do not constitute financial advice. You should not act or rely on any information contained in this website without first seeking advice from a professional. Past performance is not a guide to future performance and may not be repeated. Capital is at risk; investments and the income from them can fall as well as rise