UK citizens’ decision to exit the European Union really caught the world off guard. Last Thursday, traders thought the vote would fail and that sent values higher. On Friday, we got new information and stocks fell. Partly as a correction to what people had assumed and partly over fear as to what the future holds. Since the announcement, global stock markets have been down. And as often happens when markets go down on a Friday, traders return on Monday in “selling mode”. But we believe this will prove to be a short-term reaction to an unexpected event rather than a protracted downturn.
Would you like to watch and listen firsthand to the person responsible for overall portfolio strategy for about $30 billion of investment assets? If you do, this video is for you. A few weeks ago, we had Nick Lacy with us in our office. Nick is the Chief Portfolio Strategist for Asset Management Services within Raymond James. It is safe to say that he is slightly smart.
The start to 2016 has been marked by uncertainty in a number of areas. China, ISIS, Oil, etc. Not surprisingly, this uncertainty has caused plenty of fear and, consequently, volatility in global stock markets. Also not surprising are the familiar echoes from the “talking heads” on television and even some investors to “Get out!” or do something. Of course, there is no one-size-fits-all approach to investing or risk management.