The Importance of Sticking to Your Strategy
By AMP Financial Planner Peter Lake*
The Australian Government has recently guaranteed the balances of all funds on deposit in Australian banks and financial institutions.
This demonstrates that, notwithstanding the fundamental soundness of our economy, it is considered critical that we have confidence in our financial system. Pretty much everyone is nervous at present, not least because we appear to be sailing in un-charted waters.
During uncertain times, those who do know where they’re headed are less likely to hit a reef, and more likely to stay afloat if they do. At times like this the sharks start to circle and they’ll pick the bones of those who jump ship. Panic now and you’ll almost certainly regret it.
If your assets are now worth less than you thought they were a while ago, there’s one certain way to ensure you make a loss; sell at the bottom of the market.
Only time will tell where the economies of the world are headed from here and we can only hope that we learn from this experience. If you have a plan to work with, and a budget to work within, you may still have to batten down the hatches but you will stay afloat.
Act in haste and repent at leisure.
If you’re uncertain as to what, if anything you should be doing, ask your financial planner.
*Peter Lake is an Authorised Representative of AMP Financial Planning Pty Ltd, ABN 89 051 208 327, AFS Licence No. 232706.
Any advice given is general only and has not taken into account your objectives, financial situation or needs. Because of this, before acting on any advice, you should consult a financial planner to consider how appropriate the advice is to your objectives, financial situation and needs.
