MARKETING - The PRIDE Magazine by Liontrust - Flipbook - Page 11
Shocks and surprises are the reality of
financial markets today and the key is to
use these to our advantage: we will often
look to buy investments that have sold off
for no fundamental reason, for example.
The higher that stock markets climb, the
more vulnerable they become and I would
expect further pullbacks over the coming
months. Barring any unexpected shocks,
however, we see no immediate signs this
will be more than the usual ebb and flow.
Occasional falls in the market of 10% are
part of investing and strengthen the case
for a patient approach.
We saw this happen before last Christmas
in Asia and the emerging markets
when fears about US protectionism
and changing trade agreements under
Trump led both markets to fall and gave
us an opportunity to top up weightings.
There remain areas where we are keen
to add to our positions – Europe, Asia
and emerging markets – but not at
current prices and we are happy to wait
for opportunities when markets correct.
Investors would do well to bide their
time, expect the unexpected and make
the most of any market ebb and flow.
Issue 1 Winter 2017 - TH E P R I DE - 11