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MSE News: 'Don't panic', investors are told, amid market slump

This is the discussion thread for the following MSE News Story:

"Experts point out investments are usually a long-term game so there may be time for the market to bounce back ..."
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Comments

  • Reaper
    Reaper Posts: 7,356 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Quite right. Anybody who can't stomach a 10% drop shoudn't be in the market in the first place.

    Why the markets previously thought the debt problem was over after a short term fix to Greece is a mystery to me.

    Anyway despite thinking we have not yet reached the bottom I am looking around for long term bargains. For example just a few minutes ago I bought Shell. Oil prices will drop in a recession but a P/E of 8 has got to be a bargain, and it pays a reasonable dividend too.

    Anybody else brave enough to buy should only do so if they are holding for the long term and I would suggest looking at stocks that pay good dividends, though not everybody would agree.
  • [Deleted User]
    [Deleted User] Posts: 12,492 Forumite
    10,000 Posts Combo Breaker
    spot on reaper. I have also been looking for good long term buys for my DHs sipp, which I put into cash 3 weeks ago. I also bought RDSB. I am never a sheep like the majority
  • dtsazza
    dtsazza Posts: 6,295 Forumite
    The FTSE is having a summer sale!!

    I've had my eye on Aviva for a while - a 15% discount is a good time to get in. Even if ends up getting cheaper I won't regret buying at this point.

    I agree that dividends are a good thing to look for, since the performance and profitability of the company isn't subject to the market's temperament. If you're investing for capital growth, that depends on the market recognising things as you see them; but a company with good profits can keep paying dividends even if their shares are at 1p. (Of course they'd never get to that stage, though personally I wouldn't object to four-figure yields! :))
  • Reaper
    Reaper Posts: 7,356 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    edited 5 August 2011 at 2:28PM
    kittie wrote: »
    ...for my DHs sipp, which I put into cash 3 weeks ago.
    Clever you. I did wonder about doing the same but wavered for too long.

    Something else to consider is Investment Trusts. They tend to exagerate falls and rises due to their gearing, so if you think the bottom is near something along the lines of the Edinburgh Investment Trust might be worth a look. I'll leave that one for a bit longer though then see what is out there.
  • brit1234
    brit1234 Posts: 5,385 Forumite
    I like downturns, they are good buying opportunities.

    Don't panic and turn the situation to an opportunity.
    :exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.

    Save our Savers
  • jayship
    jayship Posts: 387 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I would like to think the dip as a buying opportunity but cannot decide whether to go 4 defensive stocks like oil, gas etc or financial like Barclays for a quick return. However not sure that for banks the cat is out of the bag yet?

    Aviva sounds good as the it pays a very good dividend. The weekend may help the market to stabilise if the brokers feel it was an over reaction.
  • However, experts point out that investments are usually a long-term game, and unless anyone with cash linked to the markets needs to draw their money soon, there is time for the market to bounce back.
    Stop flinching you wimps. Stay still while I insert this and draw off the liquid I need. Trust me I'm a banker ....
  • dalek
    dalek Posts: 9,386 Forumite
    dont_panic_dads_army_t_shirt-d235728038985568146q6iv_210.jpg
    The Daleks Reign Supreme, All Hail The Daleks!
  • DiggerUK
    DiggerUK Posts: 4,992 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Seems we have a show of bravado from the equity spammers.
    No tears for now, but sooner or later it will be a wise move to buy in to Kleenex Tissues.
    ..._
  • Reaper
    Reaper Posts: 7,356 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    DiggerUK wrote: »
    Seems we have a show of bravado from the equity spammers.
    No tears for now, but sooner or later it will be a wise move to buy in to Kleenex Tissues.
    ..._
    lol, I'm not actually anti-gold, which is where I assume you are coming from (though I was against the silver madness which has thankfully burnt out).

    Gold could indeed do well as it often does in times of fear, at least in the short term, and probably medium term too.

    Gold miners may be worth a look as they have fallen too (particularly the juniors) and there seems to be a growing gap between the performance of the gold price and the miners who extract it. At some point they must surely converge. Either the current gold price is a temporary high or if not then the increased revenue must benefit the miners.

    What do you reckon digger, or do you stay clear of all shares?
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