New PM, new investment approach? Not on our watch!

When it comes to politics there are regular predictions about what is going to happen next – Johnson or Hunt in recent days. It was predicted that Boris would win with a landslide defeat and, well, here we are!

Trying to predict what will come next in the financial markets is not quite as simple. We advocate a long-term investment approach and coach our clients to control their emotions during times of change and uncertainty.

With a new PM in Downing Street it is important to remember these principles.

The graph below shows the growth of £1 invested in the UK market over more than 60 years. There were 12 Prime Ministers in this period. Despite this there is nothing linking the long-term stock market performance to the party in power, or who the PM is.

What it does show is long-term returns regardless of who lives in Number 10!

So, remember to keep your cool. Boris is undoubtedly going to see the country through its next big change, Brexit, but don’t let political events dictate your investment decisions.

Get in touch with our team if you need to chat to someone about your portfolio.

Source: Dimensional Fund Advisers

This communication is for general information only and is not intended to be individual advice. You are recommended to seek competent professional advice before taking any action. The value of investments and the income from them can go down as well as up, and you may get back less than you originally invested. Past performance is not a guide to the future. The investments described are not suitable for everyone. This content is not personalised investment advice, and Creaseys Wealth can take no responsibility for investment decisions you may make as a result of this information.