Keep calm and carry on…

How to Boost Your Financial Wellbeing During the Pandemic

In light of current events surrounding Coronavirus, and the uncertainty and anxiety it will be causing a great many, with regards to their financial wellbeing, The Wealth Consultant will be publishing a weekly blog, distilling the most insightful and useful snippets from ‘Our Network’, and top tips on how to stay in control of your financial wellbeing. Read further to get valuable insights into:

  • coronavirus economic and 2008 financial crisis comparison
  • three post-pandemic macroeconomic scenarios
  • coronavirus fraudsters and scams you should be aware of

The Wealth Consultant is in the business of helping clients achieve financial Peace of Mind, a tall order in the current environment. However, it is at unprecedented times like these, not seen since the 2008 Global Financial crisis, and as some may argue not seen since WW2, that we must keep our head, or risk losing our mind, we must “keep calm and carry on”.

We should however be cautious not to allow ourselves to become consumed by the all too negative media reporting and speculation about possible duration and outcomes of this pandemic. To that end I have focused my blog on reports, from those at the sharp end, starting with a commentary from the worlds largest asset manager, BlackRock.

Global market COVID-19 updates

Is coronavirus economic crash different from the 2008 financial crisis?

I note that the BlackRock Investment Institute, whilst acknowledging the Coronavirus outbreak is set to deliver a sharp and deep economic shock, do not believe today’s market turmoil is a repeat of 2008 – provided we get a decisive policy response in the form of aggressive public health measures, and coordinated monetary and fiscal policy easing to prevent lasting economic damage, only time will tell if they are correct, let’s hope so! Read the full report here.

Three post-pandemic macroeconomic scenarios

Wealth Manager, Charles Stanley, has developed three economic scenarios as to how things might play out:
The ‘best case’ is where the virus numbers peak soon, allowing an early return to more normal conditions. An early peak with visibility of an end to special measures would lead to a dramatic rally in share prices but this seems rather unlikely. Their ‘base case’, will have at least one quarter with a much bigger quarterly downturn than in past recessions, followed by a recovery. In this scenario, there will soon be buying opportunities but probably from lower levels of the market than today. The third scenario is ‘worst case’, where the virus lingers on for longer, controlling measures stay in place for longer, and the damage spreads to a wider range of businesses, with more bankruptcies and worries spreading further in credit markets. Read the full report here.

Coronavirus fraudsters and scams you should be aware of

Finally, A word of caution from the FCA, whilst the entire world is focused on Coronavirus, fraudsters are taking advantage of the situation to target potential victims. These scams can take many forms and could be about Insurance policies, pensions transfers, or high-return investment opportunities, including investment in crypto-assets.

While it is only natural for alternative investments to involve taking risks, a careful evaluation of business opportunities conducted by a professional wealth consultant can offer investors a safe amount of security, low risks, and high returns. However, you should learn how to spot fraud and protect yourself from scams.

Scammers are sophisticated, opportunistic, and very likely to target the vulnerable. Typically, scammers use fraudulent emails, phone calls, text messages, or social media posts to offer help to customers by suggesting their service or product provides a ‘safe haven’ for money, investment opportunities ‘too good to miss’ or even expert medical guidance.

To help protect yourself, you should read the full FCA guidance here.

Please get in touch with your questions, which we will seek to address in subsequent blogs, or let us know how we can help you out by filling up this questionnaire. Let’s make your finances thrive!
Keep Calm and Carry On.