This is a very challenging time for all people; and we investors are people too. Our strength and confidence is being challenged by the machinations surrounding the coronavirus situation. It is a complex and a new situation to handle, and it will take time to work through. This we do know. We also know that it will get worse before it will get better, but, I do firmly believe, this virus and its economic impact will be resolved, just not quickly. This we know too.

Over the past couple of weeks’ particularly, we have been saturated with information, misinformation, facts, rumours, those who know (supposedly), and those who do not know (definitely); anyone who can add their two bobs worth on media and social media all contributing to one too familiar theme of constant fear. Drive uncertainty, drive fear and you ‘hit the headlines’! It’s comin’ to get ya! The world will stop fears that steal the show. Sadly, we are seeing panic in the markets, in people’s behaviour.  It has become a crisis of fear really.

Difficult as it may be (no, let’s be honest, as it is) this is when we need to step back, we need to pause, put things into perspective about this situation, put this in timeline and, simply, keep our heads. Certainly, not rush out, panic and buy toilet rolls (the symbol of the virus it has become!). Can you believe that stupidity? But it does highlight the fear and panic that people face, and how what people can be driven too when they are scared and feel helpless.

The media just keep adding to the bonfire of fear, sadly, rather than be constructive in helping work through this dramatic time.  Quoting the well regarded market consultant, Jim Stackpool, who wrote in an article this morning, “Add in the terrible elements of our social media habits, as Professor Scott Galloway suggests, it is clear that the coronavirus mayhem is illustrating how badly the world is reacting to the globe’s first real social media epidemic. Many of us do not know how to react”.

Stackpool adds, ”When stuck in our own real crisis, regardless of its origins, the last thing we need is our handheld social media machines driven by advertising clickbait promising more headlines to worry about and products with all the solutions!…and do not get distracted by the toilet roll headlines, they will come and go”. Yes, so true.

My advice to clients really is I think it comes down to simply we need to control what we can control. That is a proactive response, and a necessary behavioural response. Act rationally and with a view to the future. I think that this is exactly the advice you would give someone in difficult times. What we cannot control, we need to know and understand. Be sensible! And, yes, if you have cash to invest then these are opportunities to buy cheap yet still quality investment assets! I am practising what I preach!

This is a very challenging time for all people; and we investors are people too. Our strength and confidence is being challenged by the machinations surrounding the coronavirus situation. It is a complex and a new situation to handle, and it will take time to work through. This we do know. We also know that it will get worse before it will get better, but, I do firmly believe, this virus and its economic impact will be resolved, just not quickly. This we know too.

Over the past couple of weeks’ particularly, we have been saturated with information, misinformation, facts, rumours, those who know (supposedly), and those who do not know (definitely); anyone who can add their two bobs worth on media and social media all contributing to one too familiar theme of constant fear. Drive uncertainty, drive fear and you ‘hit the headlines’! It’s comin’ to get ya! The world will stop fears that steal the show. Sadly, we are seeing panic in the markets, in people’s behaviour.  It has become a crisis of fear really.

Difficult as it may be (no, let’s be honest, as it is) this is when we need to step back, we need to pause, put things into perspective about this situation, put this in timeline and, simply, keep our heads. Certainly, not rush out, panic and buy toilet rolls (the symbol of the virus it has become!). Can you believe that stupidity? But it does highlight the fear and panic that people face, and how what people can be driven too when they are scared and feel helpless.

The media just keep adding to the bonfire of fear, sadly, rather than be constructive in helping work through this dramatic time.  Quoting the well regarded market consultant, Jim Stackpool, who wrote in an article this morning, “Add in the terrible elements of our social media habits, as Professor Scott Galloway suggests, it is clear that the coronavirus mayhem is illustrating how badly the world is reacting to the globe’s first real social media epidemic. Many of us do not know how to react”.

Stackpool adds, ”When stuck in our own real crisis, regardless of its origins, the last thing we need is our handheld social media machines driven by advertising clickbait promising more headlines to worry about and products with all the solutions!…and do not get distracted by the toilet roll headlines, they will come and go”. Yes, so true.

My advice to clients really is I think it comes down to simply we need to control what we can control. That is a proactive response, and a necessary behavioural response. Act rationally and with a view to the future. I think that this is exactly the advice you would give someone in difficult times. What we cannot control, we need to know and understand. Be sensible! And, yes, if you have cash to invest then these are opportunities to buy cheap yet still quality investment assets! I am practising what I preach!

And regarding my lengthier newsletter of last week, all still stands in what I wrote. Keep the faith!