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  • FIRST POST
    • BrockStoker
    • By BrockStoker 5th Feb 18, 8:32 PM
    • 193Posts
    • 87Thanks
    BrockStoker
    Correction in progress!
    • #1
    • 5th Feb 18, 8:32 PM
    Correction in progress! 5th Feb 18 at 8:32 PM
    I've just seen the largest (single day) spike in volatility I've ever experienced (currently @ 106%). Certainly it's looking like this is going to be the largest correction since 2015!

    https://uk.investing.com/indices/volatility-s-p-500-chart

    Time to look at what to buy with the cash I've been holding!

    More inclined to look at overseas assets/equities, but I have been thinking about buying some UK micro-cap for a while, and possibly some Chinese equities. Any one else shopping right now?
Page 1
    • bcfclee27
    • By bcfclee27 5th Feb 18, 8:35 PM
    • 135 Posts
    • 37 Thanks
    bcfclee27
    • #2
    • 5th Feb 18, 8:35 PM
    • #2
    • 5th Feb 18, 8:35 PM
    I've been debating whether to Start investing for a while now.
    With prices dropping as they are would now be a good time to dip my toe......
    • BrockStoker
    • By BrockStoker 5th Feb 18, 8:38 PM
    • 193 Posts
    • 87 Thanks
    BrockStoker
    • #3
    • 5th Feb 18, 8:38 PM
    • #3
    • 5th Feb 18, 8:38 PM
    I would say so, depending on which asset. I wouldn't necessarily go all in right away though. Today might just be the start.
    • BananaRepublic
    • By BananaRepublic 5th Feb 18, 8:42 PM
    • 1,173 Posts
    • 850 Thanks
    BananaRepublic
    • #4
    • 5th Feb 18, 8:42 PM
    • #4
    • 5th Feb 18, 8:42 PM
    If you look at past corrections, you will see that they can last quite a long while. At present we have seen no more than a few gentle waves hitting the coastline. The tsunami may well be out at sea and approaching. I invested twice during the GFC, with a substantial drop between the first and second.
    • bcfclee27
    • By bcfclee27 5th Feb 18, 8:44 PM
    • 135 Posts
    • 37 Thanks
    bcfclee27
    • #5
    • 5th Feb 18, 8:44 PM
    • #5
    • 5th Feb 18, 8:44 PM
    Good advice.

    Think I may dip my toe in with a small amount and add in as and when I see fit...
    • bcfclee27
    • By bcfclee27 5th Feb 18, 8:46 PM
    • 135 Posts
    • 37 Thanks
    bcfclee27
    • #6
    • 5th Feb 18, 8:46 PM
    • #6
    • 5th Feb 18, 8:46 PM
    I would say so, depending on which asset. I wouldn't necessarily go all in right away though. Today might just be the start.
    Originally posted by BrockStoker
    Would VLS or HSBC global strategy be worth a little amount with how things have gone ?

    One is more uk bias and the other quite heavy US
    • Fatbritabroad
    • By Fatbritabroad 5th Feb 18, 8:53 PM
    • 277 Posts
    • 144 Thanks
    Fatbritabroad
    • #7
    • 5th Feb 18, 8:53 PM
    • #7
    • 5th Feb 18, 8:53 PM
    Both are down. This isn't even remotely a crash. so as long as you are mentally prepared to see as I have 1000 knocked off a 25k investment then crack on. I find it helps to compare to my pension which is also In a 100%equity tracker and has fallen 5k as I have alot more in that. I'm not concerned and will be putting my standard amount in as normal this month plus maybe a bit extra
    • fun4everyone
    • By fun4everyone 5th Feb 18, 8:57 PM
    • 891 Posts
    • 1,432 Thanks
    fun4everyone
    • #8
    • 5th Feb 18, 8:57 PM
    • #8
    • 5th Feb 18, 8:57 PM
    Wow the s&p is tanking pretty hard now. Someone hit up Donald Trump on twitter and ask him to fix it.
    • BrockStoker
    • By BrockStoker 5th Feb 18, 9:08 PM
    • 193 Posts
    • 87 Thanks
    BrockStoker
    • #9
    • 5th Feb 18, 9:08 PM
    • #9
    • 5th Feb 18, 9:08 PM
    Would VLS or HSBC global strategy be worth a little amount with how things have gone ?

    One is more uk bias and the other quite heavy US
    Originally posted by bcfclee27
    I don't monitor those two funds, so I couldn't say for sure.

    In the past I have found it easier to time my buys better with US/overseas equities due to the time difference. I like to look at the top 10 asset holdings of a fund, and see how they have done, then if there has been a dip, I'll buy overnight to catch the valuation point the following day. This works better with more concentrated funds that have around 50% or more of their portfolio invested in the top 10 assets.

    I do suspect that today may just be the start, so if you do buy now, definitely dip your toe in with a smallish (but still significant) amount first. I could be wrong of course, in which case you may regret not having bought more, but look out for the "dead cat bounces".
    • bostonerimus
    • By bostonerimus 5th Feb 18, 9:09 PM
    • 1,537 Posts
    • 984 Thanks
    bostonerimus
    Yep Down Jones -1100 points......so about 7% in two days. Of course 10% swings are nothing abnormal, but the recent run up in stocks is......so I expect this to continue for a while until we get back to sensible levels which I think is Dow below 20k
    Misanthrope in search of similar for mutual loathing
    • cjv
    • By cjv 5th Feb 18, 9:14 PM
    • 155 Posts
    • 79 Thanks
    cjv
    As a new investor, I have been saving up a lump sum of £4000 to add to my currently maxed Nutmeg LISA in the new tax year.

    Maybe I can get more for my money in April! I will be watching with interest
    • Alistair31
    • By Alistair31 5th Feb 18, 9:36 PM
    • 10 Posts
    • 6 Thanks
    Alistair31
    I have an in progress buy order in my LISA for £4K. Hmmm

    (HSBC Dynamic)
    • hutman
    • By hutman 5th Feb 18, 9:40 PM
    • 91 Posts
    • 29 Thanks
    hutman
    first time since i started investing two years ago that ive seen this levels of drop on the us stock markets and naturally my portfolio has taken a bruising.

    do i have the balls to buy more at this stage? ...
    • Plus
    • By Plus 5th Feb 18, 9:41 PM
    • 282 Posts
    • 204 Thanks
    Plus
    Both the Dow and the FTSE100 have both gone back to early December levels, so it hasn't actually lost that much ground thus far. The Dow is still 20% up on a year ago, which is nothing to complain about.

    Of course, what goes down... may go down some more.
    • JSCB
    • By JSCB 5th Feb 18, 9:51 PM
    • 31 Posts
    • 10 Thanks
    JSCB
    I have an aim of £15k by April and I'm currently at 12, so £3k left. The question is, do I go now, wait another 6 weeks or split it into two £1.5k chunks?! (I'm primarily investing in VLS 80)

    Personally, I have a feeling this could be the beginning of something bigger, we all know a correction is due and this is clearly (many, many) investors getting nervous and acting accordingly ahead of that storm. The million dollar unanswerable question is, is the storm imminent or will the markets recover to a calm period of growth for a bit longer yet?
    • inflationbuster
    • By inflationbuster 5th Feb 18, 9:53 PM
    • 139 Posts
    • 37 Thanks
    inflationbuster
    The Dow Jones Industrial Average has closed down by 1,175 points in the biggest one day fall since the financial crisis.

    The leading US stock market index closed down 4.6% at 24,345.75.

    It is the worst drop in points since September 2008 when a plan to rescue the US banking industry was rejected.

    The decline extended losses on Friday, when strong wage growth data raised the prospect of accelerated interest rate rises.

    Monday's sell-off surpassed a 777.68 points drop on the Dow Jones on 29 September 2008 when Congress rebuffed a $700bn bank bailout plan following the collapse of US investment bank Lehman Brothers earlier that month.

    http://www.bbc.co.uk/news/business-42942921
    • dunstonh
    • By dunstonh 5th Feb 18, 10:05 PM
    • 91,036 Posts
    • 58,042 Thanks
    dunstonh
    Certainly it's looking like this is going to be the largest correction since 2015!
    Since 2015. My goodness. I remember 2015 as if it was just a few years ago.

    Reminds me of the media when they say "since records began" but you find out records only began less than 10 years ago.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • BrockStoker
    • By BrockStoker 5th Feb 18, 10:10 PM
    • 193 Posts
    • 87 Thanks
    BrockStoker
    It's interesting that gold is only up 0.38% at time of writing. Where is all the money going? Cash?
    • richtips86
    • By richtips86 5th Feb 18, 10:11 PM
    • 22 Posts
    • 16 Thanks
    richtips86
    Since 2015. My goodness. I remember 2015 as if it was just a few years ago.

    Reminds me of the media when they say "since records began" but you find out records only began less than 10 years ago.
    Originally posted by dunstonh
    My favourites are the cricket records. “The largest batting partnership by an opener and number 4 batsman on day two at Trent Bridge against New Zealand!!
    • Alexland
    • By Alexland 5th Feb 18, 10:20 PM
    • 1,590 Posts
    • 1,093 Thanks
    Alexland
    do i have the balls to buy more at this stage? ...
    Originally posted by hutman
    If you can afford to add a bit more into a long term diversified investment it's a good time to buy shares compared to a few weeks ago. Sure the markets might drop further but there's no point not taking some advantage of the situation for fear of missing a better opportunity. You could always buy more again. If you are a regular investor there will almost certainly be a time the future when you will be buying at higher prices again.

    However things are nowhere near low enough to start selling your children's organs to increase your fund units.

    Alex
    Last edited by Alexland; 05-02-2018 at 10:23 PM.
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