News articles – Category: Share market

It is a common maxim for investors – hold a diversified portfolio for the long term. So when share markets crash, who is doing the selling?

The daily news focuses on the S&P/ASX200 or the All Ords but there’s more to investing in shares than the share price index.

While Australia may have sailed through the Global Financial Crisis seemingly unscathed, the economic environment has changed. This means a review of your plan to rebuild wealth and/or generate an income is important.

After what has been called the Great Recession, there are positive signs for a return to global growth.

Each asset class performs differently each year. Sometimes shares are winners, sometimes property, sometimes bonds. Even cash is sometimes the best place to be.

These techniques allow investors to make money even when share markets are falling. The traditional way of investing in the share market is to buy the shares of good companies and hold them for the long term.

Share prices are volatile, whereas the value of companies is usually much more stable. Our last newsletter included an article on volatility, a warning that investors can expect periods when the share market falls significantly in value.