The Proactive Investors Response to Covid-19

Glastonbury has been cancelled; the LTA says there is to be no tennis for the foreseeable future and even more worryingly Britain faces an unprecedented lockdown to prevent the spread of a virus that could potentially have a devastating effect on those who are most vulnerable in our society.  

With panic buying, mass hoarding and people staying away from public areas in their droves this virus has brought an uncertainty to our nation that has not been experienced for many years. The resulting crisis has already impacted negatively on the world’s economy, which will inevitably continue to weaken as Covid-19 refuses to let go of the vicelike grip it has on our nation.  

Currently, the stock market is a volatile place to invest your hard-earned money, with Monday’s global market crash echoing the infamous ‘Black Monday’ of 1987, which unexpectedly saw some of the sharpest falls in prices ever seen. In today’s uncertain economic climate and with the pound falling to its lowest level against the dollar in 35 years, this most recent crash has prompted a knee jerk reaction from many. This has included a mass sell-off of assets, hitting private investors hard with the value of managed portfolios, pensions and individual shareholdings dropping by the hour. Interest rates have been set below inflation for years and earlier this week were cut yet again; resulting in another blow for those private investors who, with the turn of a new decade were hopeful for the new opportunities it was set to bring.  

So, what does this economic crisis mean for you? Your existing investments or indeed any potential investments you may have in mind? With the economic climate not likely to show signs of improvement anytime soon, the market is set to further destabilise for potential private investors. Historically it has been proven that markets don’t take well to uncertainty and with the constant barrage of negative coverage in the media, understandably, people are being reactive and selling off assets. However, during times of economic instability and uncertainty the astute investor will be proactive and diversify their investment strategy to include alternative asset classes that have limited exposure to the current volatile climate.  

Unlike the media would have you believe, the economic outlook is not all doom and gloom. It’s important to put this crisis into context, as although this market decline is unpleasant, it’s relatively common. Don’t let this current uncertainty lead you to make snap decisions, as by hoarding your cash in banks that give you below-average interest rates you are effectively depreciating the value of your assets. Instead, wouldn’t it be nice if there was an alternative, suitable investment vehicle which, was impervious to potentially volatile market conditions, fully protected and also offered market-leading rates of return?  

Engen Group has a long-term investment strategy in which they invest in asset classes they believe will remain unaffected by unstable market conditions. These asset classes not only involve exciting property ventures, where much-needed housing is provided as well as sustainable alternative natural greenspace (SANG). But, Engen also prides itself on being a forward-thinking company. They support innovative projects that will revolutionise the future of areas such as sustainability and provide solutions to some of the biggest problems facing our planet today. This is done in-line with government mandates and involves long term pledges under the Paris agreement of 2016. The core aim of this agreement is to strengthen the international response to the threat of climate change; a treaty now ratified by 187 countries. Engen raises finance by way of loan agreements, these agreements come with significant asset backing and personal guarantees by company directors fully protecting the initial investment and coupon payments. This provides a very safe way to invest in more uncertain times with a company that has a proven 10-year track record of successfully working with investors. 

So, why not be brave and turn these times of negative economic uncertainly into a positive by being proactive. Put your hard-earned cash to work and put your money somewhere secure that isn’t subject to market volatility and is essentially ‘Corona proof’.  

To find out more about the types of potential projects you could invest in

The Proactive Investors Response to Covid-19

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