How COVID-19 is impacting the way people invest

The year 2020 saw global financial markets being severely hit by Brexit negotiations, the US presidency elections and most of all, the COVID-19 pandemic. Funds positioning and asset allocation are adaptively being reshaped, influencing investment decisions.
BOV Asset Management recently hosted a webinar titled ‘Managing funds in these COVID times’, during which investment specialists shared insights on investment-grade bonds, international equities, the Maltese markets and what one can expect in the foreseeable future.
The discussion was launched by Steve Ellul, head at BOV Asset Management, who claimed that the COVID-19 pandemic not only disrupted global economies but it also impacted the way people invest.

“Strategically, when developing portfolio funds, Bank of Valletta’s approach is to seek different markets and diversify in long duration bonds,” Ellul said.
He recommended that risk-averse investors should avoid majorly impacted sectors and instead take into account qualitative factors such as management performance and sustainability.
Monetary politics drove bond yields into new lows, according to Adrian Borg, portfolio manager at BOV Asset Management.
“We recall a time...