Markets are falling because, in short, it’s what markets do.
Sometimes they go up, sometimes they go down. The truth is that watching the markets can be quite exciting because you never really know what’s going to happen from one day to the next.
But is exciting a word you want to associate with when investing your hard earned money? Perhaps not.
That’s why at Investor Profile we work hard to recommend a diversified range of investments that will be invested for the long term.
Investing in different markets across different countries lowers the risk of your overall investments fluctuating in value on a daily basis.
Knowing that you are invested for the long term helps to ease any concerns there might be over short term rises and falls in the markets.
If you can then have a model portfolio that is rebalanced on a regular basis to ensure you are continually buying high and selling low you will even benefit from these rises and falls in a systematic way that helps you earn a higher rate of return on your investments over time.