Finance Monthly April 2020 Edition

DON’T SELL YOUR INVESTMENTS INSTINCTIVELY Jonathan Raymond, Investment Director at Quilter Cheviot, explains why now’s not the time to instinctively sell your investments. Jonathan Raymond - Investment Director at Quilter Cheviot Following the recent setback in equity markets, we have had a number of clients contacting us about whether they should move their investments to cash given the uncertainty around. These concerns are of course justified. The world always carries uncertainty and there is enough of it about what with the threat of trade wars and a slowing global economy. The trouble is that equity markets generally trend upwards over the longer term, even though it’s not unusual for them to fall by 10% over a short time. The FTSE 100, for example, has regularly fallen by 10% since 1990, though it’s relatively rare for it to fall by more than 20%. Intra-year Declines (Max Drawdown) vs Calendar Year Capital Returns FTSE All World (£) INVESTMENT - DON'T SELL YOUR INVESTMENTS 60 www.finance-monthly.com