Investors advised to sit tight by equity experts
Saturday 29 August 1998
Investors taking a view on their investments of less than a year are advised to consider moving out of equities into alternative investments such as cash or bonds.
However, investment gurus are adamant that long-term investors should resist selling because of fears about the markets, in spite of admitting to a fear that this week's Russian crisis could trigger a full-blown global slump.
Paul Kafka, executive director at Fidelity, one of the biggest investment managers, said: "The best thing to do is to sit tight." George Hodgson, European strategist at ABN Amro, said: "People are panicking a bit too blindly and it is getting a bit overdone."
Robert Matthews, director of investment management at Royal & SunAlliance, said that, short term, he was "concerned that we are all very vulnerable to bad news coming out. But I think we will bounce back out of this in the near future".
Gartmore, the NatWest-owned investment manager which famously lost clients because of its withdrawal from shares to cash last year, said the crisis could be favourable because of the prospect of lower interest rates.
"We have always said we felt markets were overvalued and therefore there was a high level of risk there. We were right to point to that fact."
But others were more bearish. Bruce Kasman, head of European research at JP Morgan, said: "The bottom to the global slowdown is nowhere in sight."
- 1 Cyclist in Russia narrowly misses being hit by car and lorry
- 2 'F*ck it, I quit': KTVA reporter Charlo Greene quits live on air in spectacular fashion
- 3 What are your fingerprint words?
- 5 Pink Floyd new album: Band unveil cover art for first record in 20 years
Scotland could still declare independence – even without referendum, says Alex Salmond
Scottish referendum results: Cross-party consensus collapses amid Tory-Labour spat on the 'English question'
Hilary Mantel 'should be investigated by police' over Margaret Thatcher assassination story, says Lord Bell
Plebgate MP Andrew Mitchell called officer a 'little s**t', claim court documents 'exposing ex-Chief Whip's 'record of abusing police'
Archbishop of Canterbury admits doubts about existence of God
Labour Party conference: Ed Balls to set out plan to freeze child benefit to balance books
iJobs Money & Business
£65000 Per Annum Benefits + bonus: Clearwater People Solutions Ltd: If you are...
£20000 - £25000 per annum + OTE £40,000: SThree: SThree are a global FTSE 250 ...
£20000 - £25000 per annum + OTE £40000: SThree: As a Recruitment Consultant, y...
£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...