Elisabeth Moning Financial Consulting
- Investment counselling for private clients
- Discretionary portfolio management
- Asset and estate planning
During turbulences, active and vigilant navigation It is imperative
The environment for investments has become very dynamic, even turbulent. Points of reference for a long-term, steady navigation are missing. Even causalities that have been taken for granted over decades, must be questioned these days. Are share prices taking their cue from expected economic developments or are they more likely influenced by momentary tendencies (social moods)? That the share prices’ course could also be the driving force behind economic cycles, is a paradigm that recently has found a rising number of supporters. Low interest rates that probably remain depressed for some time are another new aspect.
During the last decades before 2007, long-term oriented static investment strategies could indeed produce good results thanks to almost steadily rising share prices. Heavily falling interest rates all over the world have given an additional boost to their valuation. As a longstanding follower of the financial markets, I must observe today that volatilities have increased and causalities as well as correlations are more than ever in flux. That is towards what I align my investment and hedging strategy.
Today, investments have to be actively managed under a permanent observation and assessment of the environment. That is the only way to keep often abruptly emerging risks under control. I thereby aim at a broad diversification into low correlated investment vehicles. That also means avoiding an unbalanced concentration on shares.
