The Corona Virus (now referred to as COVID-19 virus) represents not only a human tragedy, but also has introduced massive economic uncertainty and risk which in turn has impacted global financial markets. The Sanlam Umbrella Fund investment consultants summarise the situation as at 2 March 2020 and remind investors that we have witnessed and learnt from many other uncertainties in the past, and caution against “knee-jerk” changes away from well thought out long-term investment strategies. We also publish an updated edition of “The ups and downs of investment markets” which is intended to remind our clients to focus on the long term, and of the implicit protection for our older members embedded in the trustee-approved default investment strategies via the appropriate use of smooth bonus portfolios with capital protection in the event of a member’s retirement, resignation, retrenchment or death.
