28th September 2011
Traders have been advised that the high level of risk in today's markets means they should be diversifying their portfolio at present.
Rob Noble-Warren, asset manager at Independence Wealth Management, said this means not simply trading in the UK and the US - as these markets are traditionally closely linked - but instead putting funds into completely different areas.
Traders should hedge their bets by investing in areas that are adverse to each other, as this way, when one sector falls the other will rise.
"Markets don't move at the same time in the same way, unless there's a complete crash. If there's a complete worldwide crash, even then you still get some markets going up," he commented.
Traders in the UK may be happy to learn the FTSE 100 saw a sharp rise yesterday (September 27th).
According to Reuters, investor appetite for risk returned and this helped boost faltering commodities trading around the globe.
Posted by Andrew Johnston
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