So, here we are firmly in bear market territory. Not just in the UK but right across global markets. With everything that has been going on and the world in crisis it’s hard to know how to begin to write this month’s introduction to IFA Magazine.
Let’s start with the coronavirus itself. With the impact of this global pandemic now having reached Europe – indeed as the new epicentre of the pandemic – this virus which few of us had ever heard of at the start of this year has now affected all of our lives in one way or another.
Business is in crisis, people’s lifestyles have changed beyond recognition, panic has set in over the economic consequences of the virus and we’re all in the dark wondering what on earth is going to happen next?
With governments around the globe taking the problem incredibly seriously, actions are underway to try and stem the spread of the virus to try and save lives and protect the viability of health services. We have witnessed fiscal stimulus packages and monetary policy working in tandem. Monetary authorities are throwing every tool – and huge amounts of money – which they have at the problem in an attempt to stave off recessionary forces which come ever closer. But will it all work? There can be little doubt that the impact of this pandemic will be hard hitting and dramatic on business and people alike. Quite to what extent we will only know as time ticks on and we find out how effective all the different measures taken in response to the crisis have actually been.
In the meantime, the IFA Magazine team – like most of our readers – is firmly entrenched at work within our own homes. On a daily basis we are looking on in constant amazement wondering when – and even if – life will ever be the same again. That’s a topic for another day. As individuals, we can only work with the authorities and do our bit to be good citizens, abiding by the rules and looking out for each other. For businesses, there are other considerations with many disaster recovery plans finally seeing the light of day after so many years of what ifs. Perhaps after all this is done, our perspective might have changed. It might not.
THE NEED FOR ADVICE
One thing is for sure. Despite all the turmoil, the need for sound professional advice has never been greater. Clients need your reassurance that sticking to the long term plan and trying not to panic when all around are losing their heads is not an easy thing to do. But it is the right thing. Those of us who are old enough to remember the dark days of 1987 (yes, including yours truly) will know that it is during such crises that a level head is essential. Your clients will need reassurance. It will be a busy time for financial advisers and planners. Trying to keep calm and focus on clients’ needs, with strong lines of communication to ensure that they know you are there looking after their best interests is essential.