Weekly update: Nigel Reeves

Another week of home working has passed,  many people are reporting it to be a fairly positive experience. Some saying that we will see permanent changes to the work place when we come out of this period.

Despite the current events we are aiming for the constant state of ‘business as usual’. We are finding that lots of clients and new contacts are wanting to discuss: investments, pensions and retirement right now.

It’s important for our contacts to understand that our teams at Reeves Independent are fully operating and able to conduct our usual high levels of service and advice.

It’s worth pointing out that coronavirus is having an impact on some areas of our new business, but nothing that we cannot deal with at the moment. We carry on monitoring the situation.

With many property funds freezing activity, we are seeing some obstacles to some of our transactions. This can have an impact on investment advice and fund switches together with some pension switch activity.

A number of final salary scheme providers are also delaying various parts of their services which is having an impact on some clients that are going through the process with our third party introduction firms.

It’s very important that everyone keeps abreast of the changes that are taking place and we will always ensure you are fully in the loop and plans are modified as and where required!

The markets continue to recover from the falls of a few weeks ago. We remain cautious about where they will go over the coming months. It’s vital that clients are aware of risk and their own timescale of events when considering their pension investments. Keep a close eye and keep talking must be the best advice.

Zoom has been very useful for many over the past weeks. This takes us to a new idea of hosting a meet the team over zoom. A question time type meeting aimed at new clients who may want to meet and speak with the senior members of the Reeves business and the client service team.

High performing investments in 2020

Most people are aware that the world stock markets have taken significant falls since the coronavirus arrived.

At Reeves Independent we have seen our portfolios outperform the indexes t we follow and the FTSE100.

Our top selection this year has achieved a surprising 19.83% despite the coronavirus outbreak. Gold has achieved 17.27% as investors have sought the safety that gold is perceived to offer and we have two specialist technology funds delivering 12.56% and 15.32%.

This is the official performance excluding costs and charges and based on returns for January 1st 2020 to the end of April.

The key to sensible investment strategy is to run a mixed asset portfolio with funds run from a range of fund managers. The above funds all form part of carefully selected portfolio.

Different portfolio have different asset allocations and holdings.

Past performance is no guide to the future and these funds do not form any advice to buy. All selections are made as part of a portfolio of mixed assets.

Investment advice is available to all risk profiles, life stages and portfolio size.

What’s new at Reeves

– Our new wills process is going live on Monday with 27 existing clients expressing interest – Please email or call in for more information.

– We are pleased to launch ‘Reeves Essential’. This is a new service for clients with under £100k and are under 55 years of age. The service is being run by David, one of paraplanners. He will work closely with our specialist life stage advisers to deliver a new bespoke service for this niche client segment.

We are often asked about running investments for our clients’ children and partners. Often the needs of this group is different to our core client bank hence the new bespoke service.

– Zoom remains our preferred client virtual meeting tool. We are delighted with how our team have adapted to this over the past month and we have ongoing training to ensure that we maximise our client experience. The standard phone call is available for those that are not ‘zoom friendly’!

Important notes for investors

Right now is a very worrying time. We have seen all equity markets experience significant falls, although in the past ten days or so, things have improved.

Volatility will continue. This means we should expect to see large daily movements – up and down.

Over the short term there is significant risk that we may see further falls. However, in the long term it is highly likely that the markets will produce growth and recover. There is however, no guarantee on this.

Some people believe that the markets will fall heavily and for the long term. That is their view. Others have different views.

Standard messages need to be remembered:

Invest for long term

Have adequate short term cash positions for day to day needs

Accept volatility

The higher the risk rating, the greater the volatility and range of outcomes (positive and negative)

Selling diversified investments into cash after a period of loss is probably the worst thing to do.

Maintain diversification of holdings and asset types

Stay Calm. Yes, we have not seen this before but we have seen markets fall before.

Big News of the day

The government reveal that they have under-budgeted for the number of people being furloughed. It’s reported that a £10 Billion budget may be more like £30 to £40 Billion. What will they announce next?

France goes into recession and commentators talk of biggest recession that we have ever seen.

USA markets reach higher levels again.