As we approach the half way point of 2020, Covid-19 is certainly still an ever present factor but life does continue to slowly return to normal. So much so, that when walking around the city it is easy to forget that we are still in the midst of a global pandemic.
What is strikingly apparent is that with every passing month the disconnect between the global stock market and the economic reality appear to be diverging at an ever increasing rate. As economies around the world publish their devastating unemployment figures and are officially confirming that their economic output has fallen off a cliff, the global stock market is rapidly approaching all time highs – apparently oblivious to what is happening in the ‘real world’.
After witnessing the markets soar over the past weeks and months, we are well aware that these discounts on global stocks will not last forever and we have therefore continued to invest everything that we can afford each month and in June this led us to save a total of £3,814. In addition to this money that we invested, our total portfolio also grew by an additional £4,664, which is our fourth biggest monthly gain ever, only behind January, April and May 2020.
As a result of our above average contribution and the large portfolio gain in June, this means that our total portfolio value now sits at £131,317. This means that our portfolio value is more than £10,000 above our pre Covid-19 highs despite our Vanguard fund still being approximately 10% below those same pre pandemic levels.
More so then ever, it is difficult to know what is around the corner but it is safe to say that 2020 will not be a year that will be forgotten anytime soon! Please stay safe and look after yourself and those around you and we’ll speak to you in the next update!
How are your portfolios looking in these turbulent times? Is life going back to normal where you are? Let us know in the comments section.