Enable’s IFAs of Bishops Stortford like to make sure all investors do an annual review of their finances and that includes taking stock of your stock. In 2019 some share are way up some by as much as 225%, while others have plummeted 90%. There is always volatility in share prices but fortunately when it comes to investing there are plenty of different options open to suit different needs and different risk profiles
Plenty of investors take the simple route of investment by putting money into investing in an index tracker, which invests in a host of shares found within a certain index ‒ the FTSE100 for example ‒ to replicate the performance of the index. Others like to put their trust in a fund manager, who decides precisely which companies to back and which to avoid. Some portfolios are more active than others. Decisions have to be made and it is not easy to make any of these decisions without experienced financial advice.
It might seem like are really opportunity to chase the big winners like those of 2019 identified by the experts at The Share Centre. Some like Luceco saw share price jump 225% over the year, with the LED lighting firm enjoying growing revenues over the first half of the year. The publisher Future ‒ behind the likes of Techrader, PC Gamer and Gizmodo also saw its share price rising 169%. But just as many were big losers like Metro Bank with its share price crashing over 90% to £1.76.
The difficulty with investment is that past performance doesn’t necessarily mean anything. A firm could suffer a dreadful year and then have a really good 12 months after that. Chasing the next big thing is often the easiest way to lose money quickly. Enable’s IFAs can help you focus on the fundamentals and stay slow and steady with more passive investments that stay the course, then over the long term, you’ll end up with more winning investments than losers.