Investment opportunities in a volatile market

MBA Financial StrategistsMarket WatchInvestment opportunities in a volatile market

Investment opportunities in a volatile market

Global investment market turmoil has continued this past month, although some signs of stabilisation are starting to emerge. We view these falls as a correction and remain positive in terms of the bull market we’ve been experiencing in shares. In this video, Shane Oliver, Chief Economist and Head of Investment Strategy at AMP Capital, provides an update on market conditions, including investor opportunities these present and tips to remain savvy during investment market volatility.

Top tips for investors during market volatility

  1. Recognise that shares are invariably volatile – that’s the price you pay for the higher long-term returns you get from shares.

  2. Selling after sharp falls locks in a loss – it turns a paper loss into a real loss.

  3. Look for opportunities that the decline throws up – this is the time to find a bargain.

  4. Dividend payments won’t change – if it’s dividend income you’re after, this won’t have changed provided you have a well-diversified portfolio.

Final thoughts

Looking globally, the usual conditions that set-up for a major bear market don’t currently exist therefore, our overall outlook for share markets remains positive.

Article by Dr Shane Oliver

AMP Capital 10 September 2015

Dr Shane Oliver, Head of Investment Strategy and Economics and Chief Economist at AMP Capital is responsible for AMP Capital’s diversified investment funds. He also provides economic forecasts and analysis of key variables and issues affecting, or likely to affect, all asset markets.