A lot of people will still be wondering on what to do during this world crisis?
Let me give you some guides that might be useful for you
- REVIEW : your asset Allocation
If you have done proper asset allocation, there is nothing to be afraid of provided that you have your emergency fund in place. However, you might want to rebalance the portion towards income generating & higher exposure to lower risk asset classes. For those who haven’t, start doing yours now or if you need help, get a professional advice on getting the risk portfolio for you.
- REVISE : your risk profile
If you think you are much anxious seeing red colour and double digit negative mark on your current investment return, you might want to revise your risk profile. Maybe when you started making the investment, you thought you are an agresssive investor and able to take higher risk but you might be wrong after you have seen your paper loss.
- SWITCH : your fund
If your risk profile stays the same, you can switch to lower risk category to minimise potential loss but don’t forget to switch back once the market started to rebound or you might lose out in the long run.
- STAY CALM & KEEP INVESTING
As a long term investor, it is important to add to your investments regularly and take advantage of Ringgit Cost Averaging. You have learnt that in long term the market will recover and gets better. Consistency is a key to successful investing rather than timing the market.
If you have headache managing your investment, why not leave it to the expert?
For those require professional advice to manage your investments, kindly arrange virtual session with me to revise your investment strategy.
Hope this helps!
MBBCH BAO, FAR, FPR, CMSRL, ShRFP
Security comission & BNM licensed Financial Planner
An ordinary member of Malaysia Financial Planning Council