Three steps to surviving volatility

AXA/advisers/market-volatility/

10 April 2008
| By George Liondis |
image
image
expand image

Rob Thomas

Advisers are now seeking advice for themselves more than in the past, according to financial services group AXA, which claimed the best way to survive turbulent markets is with quality research and informed licensee support.

AXA head of research and technical Robert Thomas urged advisers against hiding in volatile markets and recommended a strategy of communication and portfolio diversification to differentiate their services.

“Periods of market volatility can be unsettling for clients as well as advisers.

“So it is especially crucial that research teams are experienced and, most importantly, accessible to advisers,” he said.

In a period of instability, advisers should draw on three fundamental messages: keep communicating with clients, ensure portfolios are diversified at three levels and remember that the steps for providing quality advice in volatile periods are no different to other times.

According to Thomas, those steps include using the right tax strategy, ensuring correct asset allocation and regular rebalancing back to benchmarks, using leverage for selected clients and considering the use of protected products.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

1 month 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

4 weeks ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

2 weeks 6 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

1 week 5 days ago

TOP PERFORMING FUNDS