By David Amarayan (pictured), Founder and CEO, Balchug Capital – We are living through one of the worst economic shocks in history. The volatility is dizzying and the territory is uncharted. The scale of market movements and the amounts of fiscal stimulus governments are applying have never been seen before, and nor have many of the phonemena we are witnessing, such as negative oil prices.
The sell-off around the world sparked by the coronavirus crisis is so rare and extreme in nature that it is likely to be followed by a significant recovery if it follows historic trends, according to global small-cap investment specialist SilverCross.
Investors should be looking at the new breed of ‘dividend heroes’ as traditional UK income paying businesses suspend or scrap their dividends in the wake of the Covid-19 lockdown, according to Helen Bradshaw, portfolio manager at Quilter Investors.
The Covid-19 pandemic is underlining the absolute importance of having an up-to-date, valid will, according to Cayman attorney Anthony Partridge.
Adrian Lowcock, head of personal investing at Willis Owen says that there are five virtues which will get an investor through a crisis. Lowcock writes that crises are always different, they have a different effect on the economy and indeed stockmarkets.
Al Bryant, Head of the River and Mercantile Emerging Markets team, comments on why he believes EM’s are holding up better during this crisis than they did in 2008…
With the FTSE at 5,000, a panicky overreaction is a long-term opportunity according to 7IM. Terence Moll, Head of Investment Strategy at the firm says: “Shutting borders and keeping people inside their homes hurts economic growth. People will buy less, sell less, and make less. And it feels extremely uncomfortable in the Western world to be told that we cannot do certain things.
A range of comments has greeted the news on the Bank of England’s announcement of an unexpected interest rate cut of 50 basis points down to 0.25 per cent, driven by the effects of the coronavirus epidemic.
Richard Pearson, Director at EQi, comments on the Bank of England's shock 0.25 per cent interest rate cut…
Rupert Thompson, Chief Investment Officer at Kingswood, comments on the market turmoil caused by Covid-19 concerns…