You are here: Home - Saving & Banking - News -

Bear market may produce positive results for investors

0
Written by:
30/01/2008

Stock market rallies that are a feature of bear markets could help rebalance investors’ portfolios, according to Colin McLean, managing director of SVM Asset Management.

Even though further stock market volatility may lie ahead, McClean has pointed towards sharp rallies as a positive side effect of bear markets, with shares in the biggest FTSE 100 companies looking the most likely to rally strongly. “There are usually opportunities to rebalance in all types of market. Investors do need to be clear about their own objectives and their tolerance for risk, however,” he said.

Furthermore, the long term-prospects for investors remain ‘reassuring’, mainly due to the persistence and breadth of economic growth, according to McClean, who warns investors looking to sell small company shares to err on the side of caution.

“When sentiment is so overwhelmingly negative, any disappointing news from small companies can be punished with sharp share price falls. It can also be harder to deal in these companies, and investors should recognise that selling anything other than very small holdings could take some time,” he added. 

Related Posts

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

  • ‘Alarming’ rise in number of young fraud victims https://t.co/V36VxziCZz by @yourmoneyuk
  • RT @RCIBank: Generation Sensible is the new millennial, with 68% saving money each month by choosing @NetflixUK over nights out . #Celebrat
  • RT @Rob63y: They’re currently doing the same to me 😡😡 happy to take the premium £4500 over the last 2.5 years now twisting moratorium to th…
Read previous post:
Pensioners to earn £5,000 less than average working adult

The average pension income of UK adults retiring in 2008 could be £5,000 less than a working adult’s income, Prudential...

Close