Equities Market Perspective: Keep calm and stay invested


February highlighted the difficulty and potential costs of trying to time the market, the worst week since 2016 was followed by the best week since 2015. Those who kept calm and stayed invested were rewarded. Investment Director, Ritu Vohora explains why selectivity in the equity markets remains key.

The recent correction could be seen as a ‘healthy pause’, however, complacency should be kept in check.

The bull market, is likely still intact, but we are entering choppier waters. Sharper bouts of volatility and a greater frequency of pullbacks should be anticipated.

Ritu also reviews the market trends in February with all major indices selling off in dollar terms and a broad based sell-off from a sector perspective, whilst the dollar strengthened, recovering from 3 year lows.

Being selective in areas of the market that have fundamental value will be key, as we could see a rotation in leadership across different sectors and styles.

The value of investments will fluctuate, which will cause prices to fall as well as rise and investors may not get back the original amount they invested. Where past performance is referenced, please note that this is not a guide to future performance.

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