AJ Bell Money & Markets Deep Dive #7: How to invest if you're afraid of Market crashes?
14 snips
Jan 19, 2026 Stefani Williams, a financial adviser at Holden & Partners, and Alastair Laing, manager of the Capital Gearing Trust, join the discussion on cautious investing. Stefani shares insights on assessing risk profiles using targeted questionnaires and emphasizes the importance of not panic-selling during downturns. Alastair highlights the role of multi-asset strategies, the necessity of balanced portfolios, and explains how bonds can protect against inflation. The conversation also delves into the risks of hoarding cash and the impact of market valuations.
AI Snips
Chapters
Transcript
Episode notes
Crashes Differ Greatly In Severity
- Market crashes vary widely in depth and duration, from a 25% COVID fall to an 80% NASDAQ peak-to-trough in the dot-com bust.
- Laith Khalaf highlights that peak-to-trough losses are worst-case and long-term recovery can be substantial.
Long‑Term Recovery From Dot‑Com Peak
- Even if you invested at the dot‑com peak and rode the trough, staying invested turned £10,000 into over £60,000.
- Laith Khalaf uses the NASDAQ example to show extreme recoveries after huge falls.
Assess Risk Beyond A Questionnaire
- Use a risk questionnaire then probe objectives to tailor portfolio risk to real goals, not just scores.
- Stefani Williams says align risk with lifecycle stage and whether client seeks growth or preservation.