![]() While the UK has avoided a recession this year, it could still be on the cards. We explain how this affected pension investments. ![]() The Bank of England sought to calm the bond markets by buying government debt to prevent the issues in the gilt market. There were concerns that the measures could further fuel the cost-of-living crisis. The tax-cutting measures had been heavily criticised by the International Monetary Fund as the government would need to borrow more to fund them. Investors have been worried this could have a domino effect on other banks.īefore March the FTSE had been recovering from its falls caused by the mini-budget on 23 September. It has been a turbulent time for stock markets this month following the failure of a number of banks, including American lenders Silicon Valley Bank (SVB), Signature and Silvergate.Ĭredit Suisse, Switzerland’s second biggest lender and a huge player in the global markets, entered danger territory in March before it was rescued by its rival UBS. If you’re new to investing, you might want to read our beginners’ guide to investing first. This gives your investment a chance to ride out stock market ups and downs and eventually you would hope to sell for a profit. Others would say you should never try to time the stock market and that the best way to get a positive return is to invest for the long term. We can’t know whether its growth trajectory will continue. ![]() So if growth continues, then now would be a good time to buy shares.īut again there’s no way of knowing how a company or the stock market as a whole will perform over the coming months or years. Many big companies are continuing to grow and also appear to be coping with the cost of living crisis relatively well. It is now trading at its pre-pandemic levels. But the crisis has sent shock-waves through the stock markets as investors worry that it could have a knock-on effect on other businesses.ĭespite this, it has been steadily climbing since the outbreak of the coronavirus pandemic in 2020. It has now been bought by its rival UBS in an emergency deal. The bank is a crucial part of the global financial system so regulators orchestrated a rescue deal to try to calm investors. The FTSE fell almost 7% in the first three weeks of March as investors panicked after the near-collapse of Switzerland’s second biggest lender, Credit Suisse. The FTSE, which measures the performance of the 100 largest listed companies in the UK, is almost at the same level as when it started the year.īut the past six months have been volatile. The value of your investments can go down as well as up and you may not get back all the money you put in. The idea is, you get more for your money and the value of your investments will rise when markets pick up again.Īs with any investment, however, your capital is at risk. Some seasoned investors would say it’s good to buy at a time when stock markets are low. We don’t know what the future holds, but we can certainly take a look at the stock market to see if there are any trends that might help us make an informed decision on whether now is a good time to invest. ![]()
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