Business as usual...just different

19 March 2020

Concerns for the health of family, colleagues, friends and the like are at the front of all our minds, along of course with our own personal welfare in the face of the global Covid-19 pandemic.

You will appreciate that the current global Covid-19 situation affects us all. Where possible, Chapters Financial team members will work from home, with the plan that the office will be open to collect and administer post during the middle hours of the working day. We aim to maintain our service standards, although this may not be possible at certain points and we ask please for your understanding at this time.

Market volatility

We have of course seen significant volatility in global investment markets over the course of the last few weeks. Invariably, the investments that Chapters Financial has recommended are long term investments. We have been advocates of diverse spreads of asset allocations and this is reflected in the way each fund has varied in value. An example of this could be Bond funds which have largely held more firmly during the recent equity market falls.

In our experience and using the example volatility of the financial crisis of 2008 as a parameter, we continue to believe that holding existing investments in the longer term should achieve growth and income, although these are not guaranteed. Obviously against the current backdrop of significant market contractions, many investors are concerned about their funds and the recent reductions. We believe we will see further market volatility until the current concerns over Covid-19 and its significant effects are clearer, noting that fund values can fall as well as rise and are not guaranteed. We are also seeing some volatility in currencies, such as Sterling.

End of tax year 2019/2020

The end of the tax year continues to be 05 April 2020. This year, 05 April falls on a Sunday and the last business day is Friday 03 April. We are aware that many businesses are – correctly - having to change their business practices to cope with the global pandemic. If you do want to use any of the annual tax allowances, such as pension contributions or ISA allowances, then please let us know as soon as possible. We will do all we can to accommodate these requests, taking into account the current situation on working practices.

No individual advice is provided during the course of this blog. If you would like to book a telephone consultation, then please do call the office number and we can book in a suitable time.

Please keep safe all!

Keith Churchouse FPFS

Director

Chapters Financial Limited