Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Tips for coping with market volatility


Media Release 17 October 2008

Tips for coping with market volatility

Information to help New Zealanders cope with the current situation in the financial world has been posted on the Retirement Commission’s independent money guide website www.sorted.org.nz (see below).

Retirement Commissioner Diana Crossan says the tips have been developed following calls from people who are nervous about managing their money in the current environment. She says investors need to think long term and remember that financial markets are volatile.

“I would urge people to continue to plan for their retirement, despite the current turmoil. Regardless of whether we are living in good or bad times, New Zealanders need to prepare for their future financial security,” said Diana Crossan.

“It’s also important not to panic or make rushed decisions, but at the same time don’t put it off. It’s better to do your homework and get as much information as you can so you are in a position to make well-informed decisions about your finances.

“For some of you this might mean sitting down and re-doing your budget so you have a clear understanding of your financial situation. Sorted has calculators to help you do this, including a budget calculator and a calculator to work out your net worth.

“If you find you can’t meet your commitments, the first step is to contact your lender or bank. If you can reduce spending, you might be able to consider using the surplus to pay off debt,” said Diana Crossan.

Sorted has information to help New Zealanders get financially sorted, regardless of their financial situation and stage in life. There’s information on how to set short, medium and long term goals and the importance of planning.

The Retirement Commission has also just produced a new booklet, Sorted - Your guide to getting there, which provides information on goal setting, making a budget and planning for retirement.


Market Volatility: What do I do?


• Don’t panic. Take time to make considered and informed decisions

• Have a close look at your financial situation. Do a detailed budget of all your income and spending.

• See if you can reduce spending to pay off debt.

• If you can’t meet your commitments, talk to your lender/bank about your options as soon as possible.

• Try not to miss any payments to avoid getting a bad credit rating.

• If you are having trouble paying your credit card bill, stop using your card.

• Don’t get a new credit card to pay off the bill on your current credit card. If you can’t afford the repayments, see if you can re-finance your debt into a lower interest loan.

• Remember that shares or a fund that includes shares are generally best suited for long term investing and will be affected by market fluctuations.

• Find out what your risk profile is so you can make investment decisions that you are comfortable with.

• Don’t be put off from saving, especially for the long term. By saving regularly and earning interest on your savings, even the smallest amounts can grow substantially.

• Use the sorted.org.nz calculators to help you with your decision making. Do your homework so you can make well-informed financial decisions.

ENDS


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Frog Recruitment: Kiwi Workers Reluctant To Make Business Trips Across The Ditch Despite Trans-Tasman Bubble Opening

When the trans-Tasman travel bubble opens today, many Kiwi companies won't be rushing to buy an air ticket, reluctant to cross the ditch to do business. The latest survey conducted by leading recruitment agency, Frog Recruitment of nearly 1,000 New Zealand ... More>>

Tourism: Employers Welcome Back Working Holidaymakers

Tourism businesses gearing up for the return of Australian visitors from next week will be relieved to learn that they will also have access to an offshore pool of much-needed job candidates, Tourism Industry Aotearoa says. Tourism employers around ... More>>

Commerce Commission: Latest Broadband Report Confirms Improved Performance Of Premium Fibre Plans

The latest report from the Commerce Commission’s Measuring Broadband New Zealand programme shows that the performance of Fibre Max plans has improved substantially. This follows a collaboration between the Commission, its independent testing partner, ... More>>

Air New Zealand: Capital Raise Deferred

Air New Zealand has decided to defer its planned capital raise to later in 2021 allowing more time to assess the impacts of recent developments on the airline’s path to recovery. 'We’ve seen some clearing of COVID-19 clouds recently, with ... More>>


Stats NZ: New Report Shows Impact Of Demands On Land In New Zealand

A new environmental report released today by the Ministry for the Environment and Stats NZ, presents new data on New Zealand’s land cover, soil quality, and land fragmentation. The land cover data in the report, Our land 2021 , provides the most ... More>>

ALSO:

Stats NZ: March Card Spending Rebounds Despite COVID

There was a lift in retail card spending in March following a fall in the lockdown-disrupted February month, Stats NZ said today. Seasonally adjusted retail card spending rose by $53 million (0.9 percent), compared with February 2021. Visit our website to read ... More>>

PwC: Outcome Of Review Into Air New Zealand Gas Turbines Business

Air New Zealand has received the report into its Gas Turbines business from independent external advisers PwC. Air New Zealand Chairman Dame Therese Walsh says the report identified a range of effective controls in the Gas Turbines revenue contracting ... More>>