Global market sell-off will ease; some investors set to make a fortune
March 13, 2020

The sell-off on global stock markets will ease as liquidity measures are rolled out – and some investors will make a fortune from the volatility – affirms the CEO of one of the world's largest independent financial advisory organizations.

Nigel Green, the chief executive and founder of deVere Group, is speaking out after coronavirus fears triggered the largest one-day fall on many global indices – including the FTSE and the Dow Jones - since the "Black Monday" market crash in 1987.

Green comments: "Global markets were thrown into turmoil Thursday as fear gripped investors over the jump in confirmed coronavirus cases and as governments around the world introduced measures to try and halt the spread, which contributed to the panic.

"All assets - even safe-haven ones such as gold and Treasuries - were being shed in order to shore up cash reserves to meet margin requirements.

"This was a temporary phenomenon. Whilst some volatility will remain as no-one can truly know where the bottom is due to the unpredictability of this public health crisis, the global sell-off will ease as central banks roll out liquidity measures."

This prediction was also made earlier in the week by the deVere CEO who noted: "Markets are looking for good reason to return to being bullish – which has been their default position for an unusually long time – and actions being taken by central banks could provide just that in days to come."

He added: "We expect global stock markets to have recovered significantly before the year-end."

On Friday, Asia Pacific markets staged sharp recoveries, European and US ones are expected to follow suit.

Green observes: "The coronavirus is an unprecedented public health crisis, with many tragic consequences that cannot and should not be underestimated or dismissed.

"It has spooked the markets to historic levels. Yet many investors will use the temporary volatility as important buying opportunities, with some set to make a fortune from the turbulence.

"Fluctuations can cause panic selling and mispricing. Sought-after stocks can then become cheaper, meaning investors can top up their portfolios and/or take advantage of lower entry points. This all typically results in better returns.

"A sensible fund manager will assist investors to seek out the opportunities that turbulence creates and mitigate potential risks as and when they are presented."

"As ever in times of market volatility, many investors will be using the fallout of the coronavirus outbreak as a chance to generate and build wealth."





This site, like many others, uses small files called cookies to customize your experience. Cookies appear to be blocked on this browser. Please consider allowing cookies so that you can enjoy more content across globalcustody.net.

How do I enable cookies in my browser?

Internet Explorer
1. Click the Tools button (or press ALT and T on the keyboard), and then click Internet Options.
2. Click the Privacy tab
3. Move the slider away from 'Block all cookies' to a setting you're comfortable with.

Firefox
1. At the top of the Firefox window, click on the Tools menu and select Options...
2. Select the Privacy panel.
3. Set Firefox will: to Use custom settings for history.
4. Make sure Accept cookies from sites is selected.

Safari Browser
1. Click Safari icon in Menu Bar
2. Click Preferences (gear icon)
3. Click Security icon
4. Accept cookies: select Radio button "only from sites I visit"

Chrome
1. Click the menu icon to the right of the address bar (looks like 3 lines)
2. Click Settings
3. Click the "Show advanced settings" tab at the bottom
4. Click the "Content settings..." button in the Privacy section
5. At the top under Cookies make sure it is set to "Allow local data to be set (recommended)"

Opera
1. Click the red O button in the upper left hand corner
2. Select Settings -> Preferences
3. Select the Advanced Tab
4. Select Cookies in the list on the left side
5. Set it to "Accept cookies" or "Accept cookies only from the sites I visit"
6. Click OK

The sell-off on global stock markets will ease as liquidity measures are rolled out – and some investors will make a fortune from the volatility – affirms the CEO of one of the world's largest independent financial advisory organizations.

Nigel Green, the chief executive and founder of deVere Group, is speaking out after coronavirus fears triggered the largest one-day fall on many global indices – including the FTSE and the Dow Jones - since the "Black Monday" market crash in 1987.

Green comments: "Global markets were thrown into turmoil Thursday as fear gripped investors over the jump in confirmed coronavirus cases and as governments around the world introduced measures to try and halt the spread, which contributed to the panic.

"All assets - even safe-haven ones such as gold and Treasuries - were being shed in order to shore up cash reserves to meet margin requirements.

"This was a temporary phenomenon. Whilst some volatility will remain as no-one can truly know where the bottom is due to the unpredictability of this public health crisis, the global sell-off will ease as central banks roll out liquidity measures."

This prediction was also made earlier in the week by the deVere CEO who noted: "Markets are looking for good reason to return to being bullish – which has been their default position for an unusually long time – and actions being taken by central banks could provide just that in days to come."

He added: "We expect global stock markets to have recovered significantly before the year-end."

On Friday, Asia Pacific markets staged sharp recoveries, European and US ones are expected to follow suit.

Green observes: "The coronavirus is an unprecedented public health crisis, with many tragic consequences that cannot and should not be underestimated or dismissed.

"It has spooked the markets to historic levels. Yet many investors will use the temporary volatility as important buying opportunities, with some set to make a fortune from the turbulence.

"Fluctuations can cause panic selling and mispricing. Sought-after stocks can then become cheaper, meaning investors can top up their portfolios and/or take advantage of lower entry points. This all typically results in better returns.

"A sensible fund manager will assist investors to seek out the opportunities that turbulence creates and mitigate potential risks as and when they are presented."

"As ever in times of market volatility, many investors will be using the fallout of the coronavirus outbreak as a chance to generate and build wealth."



Free subscription - selected news and optional newsletter
Premium subscription
  • All latest news
  • Latest special reports
  • Your choice of newsletter timing and topics
Full-access magazine subscription
  • 7-year archive of news
  • All past special reports
  • Newsletter with your choice of timing and topics
  • Access to more content across the site

More on:  Market commentary