2018 was not merely the year of the enchanting Royal Wedding and the exciting FIFA World Cup, it was also the year of volatility in the stock markets and bidding farewell to the ill-effects of the financial crisis. An eventful year, to say the least, and we are still three whole months away from waving it goodbye.
Entering the last quarter of 2018, and with the year inching closer towards an end in a rather blinding pace, for an investor it is almost time to look back and reflect. To review the smart investments they made in the previous months, to contemplate the future outlooks peeking at them, and to bring stability or modifications to their existing portfolios to ensure they conclude the year on a high. Therefore, it is time to revisit and re-evaluate their options and past decisions, and to form newer expectations for the last quarter of the year. Precisely speaking, investment management is in order.
For an investor, it is imperative to be aware of the current market trends, to be well-versed in the fluctuations of stocks, to hold well-rounded knowledge about the surrounding economic conditions, and to make future investment choices accordingly. For instance, it must be noted that in 2018, the climate for equities remained challenging, keeping investors on their toes throughout most of the year. Economists even admitted to the global population being at crossroads of some sort, in relation to bond and stock markets. When previously, investments in bonds were witnessing a resurgence. However, with the rising bonds yielding and interest rates growing, investors can expect to remain on edge.
Commodity trading might also suffer from volatility, as Hurricane Michael heads towards the Gulf Coast of Florida, thus shutting down 40 percent of crude output in the U.S. in its wake. Investors can expect to remain concerned about oil prices as a result.
However, it must be remembered that although volatility remained a noticeable feature of the stock markets in the year 2018, certain stocks performed better than was expected; for example, Microsoft, Amazon, and Shopify, only to name a few. Their gains ranged from 22% to a jaw-dropping 115%, which was achieved by the world-renown streaming TV giant, Netflix. Therefore, if investors undertaking Investment Management are seeking potential companies to pour money into, then these corporations hold immense potential to ensure satisfactory returns.
These overwhelming performances were undermined by the irregularities faced by other corporations, thus obliterating the positive results. However, if investors are looking to focus on the positives and looking to invest further money, they should either turn to long-term mutual funds with best low-cost and no-load options, or be on the lookout for a revival of the stock market which is bound to occur now that financial crisis is left in the rearview mirror. Furthermore, employing a calm attitude during a pull-backs in the equity markets and remaining steadfast in the face of plummeting commodity pricing will help in keeping the investors’ investments afloat. Which is why, it is of vital importance to investors to exercise excellent control, focus on their financial well-being, form a clear plan for their future investments while studying the current trends, building up their savings methodically, and increasing their wealth simultaneously.