High Interest Investment

Investment Bond, do i cut and run or hold on?

Less than 2 yrs ago i invested £20,000 in an investment bond, the value of the fund at the moment is £15,500 so it is obviously not doing well. Being a novice invester i was wondering whether i should surrender the bond and invest in something more stable or leave it where it is and hope the markets pick up. Would appreciate any advice, thanks

Public Comments

1. Is this an fund invested in stocks or in bonds? The first sentence is making me doubt. Anyway I assume the first. If you are investing, you do so for the long run, timescales of 8 to 10 years. Stocks took a big hit this year and lost a third because of the financial crisis. So that's the reason it is down. What you should do IMO is invest more. You have to buy stocks in general when the mood is gloomy and everybody is predicting the end of the world. And that certainly is the case now. That doesn't mean we will not have another down year before it picks up again. Also, compare your fund with others. Obviously they are *all* down, but maybe some do better than yours.