Coping with the Credit Crunch
Many have stated that the current economic and financial crisis will be deep and protracted.
With unemployment rising and expected to reach 3 million by the end of the year, Government borrowing aimed at stemming the job cuts and stimulating growth expected to surpass any levels set in history and stock markets, property markets, corporate bonds and commodities all trading at very distressed levels, what does the future hold.
Well, no-one can say with any certainty what will happen, but it is realistic to believe that when the effect of Government spending, low interest rates and economic stimulus does begin to take effect, assets that are trading at very distressed levels may rally strongly.
When this may be is the million dollar question, but with money on cash deposits attracting little or no interest, these other assets are looking very attractive with much higher yields than cash and with the potential for capital growth over the medium to long term.
Savers should take independent financial advice and re-assess their investment options. The point is that at present, investors are being well paid in, terms of yield, to take risk.
Download our free brochure Coping with the Credit Crunch and feel free to contact us if you require any help or advice.