Below are a few tips to help you stay calm and ultimately avoid knee-jerk reactions which could end up setting you back.

Remember your Plan

It's more that likely that you have planned for your future retirement or some other medium to long term objective such as your children's education. Try to take a back seat and focus on the plan. Yes, there will be bumps along the road but make sure stay on track. Focusing on your long-term goal will help to push all the noise to one side.

Investing vs Cash

Take a moment to think how your money would grow (or how little it would grow) if you simply left it on deposit. The reality is, in the current environment, that savings placed on deposit will fail to keep pace with inflation. Being exposed to the markets will give you the best chance of greater returns. That is, of course, if your appetite to risk and capacity for loss allows for it.

Take Comfort from the History Books

There have been many world events before now that have impacted economies including stock market crashes, global recessions and wars. Despite these challenges, markets have typically bounced back and gone on to provide handsome returns over the longer term. One of the most recent examples of this is the outbreak of Covid-19 in March 2020 where markets declined significantly, but by the end of the same year they were mainly above what they were pre-March 2020.

Make Sure your Portfolio is Diversified

A very effective measure investors can take to limit losses in their portfolio is to spread their money across a range of asset classes such as equities, bonds, property and cash. The reason for this is that certain asset classes can perform differently at different times depending on market conditions. A diversified portfolio can help smoothen out returns over time.

Speak to your Advisor

If you're feeling overwhelmed or uncertain about your investment decisions, consider seeking professional advice. A financial advisor can help you create an investment plan, manage risk, and stay focused on your long-term goals.

In conclusion, staying calm during periods of high market volatility is crucial to successful investing. By staying informed, focusing on the long-term, diversifying your portfolio, having a plan, staying disciplined, and seeking professional advice if necessary, you can weather the ups and downs of the stock market and achieve your investment goals.

One of the challenges of sustainable investing is the jargon that surrounds it. Here are some simplified explanations of common ESG terms:

Environmental: This refers to the impact that a company has on the natural environment. Environmental factors can include greenhouse gas emissions, water use, waste management, and renewable energy.

Social: This refers to the impact that a company has on people and communities. Social factors can include labour standards, human rights, diversity and inclusion, and community engagement.

Governance: This refers to how a company is managed and governed. Governance factors can include board composition, executive compensation, shareholder rights, and risk management. So how can investors identify sustainable opportunities in the market? One approach is to look for companies that are leaders in their industries when it comes to ESG issues.

For example, companies that have implemented strong environmental management systems or have a track record of positive social impact may be good candidates for sustainable investment.

Another approach is to invest in funds or portfolios that have been designed specifically for sustainable investing. These funds typically screen companies based on ESG criteria and may also engage with companies to improve their ESG practices.

In Ireland, sustainable investing is gaining momentum. The government has committed to becoming a leader in sustainable finance, and a number of asset managers and financial institutions have launched sustainable investing products in recent years. As investors become more aware of the impact of their investments, sustainable investing is likely to continue to grow in popularity.

In conclusion, sustainable investing is an investment approach that considers ESG factors alongside financial returns. By investing in companies that prioritise sustainability, investors can potentially generate attractive returns while also supporting positive change. As sustainable investing continues to gain traction in Ireland, investors have an opportunity to make a difference with their investments.

For example, in the European Union, the Deposit Guarantee Scheme (DGS) guarantees deposits up to €100,000 per depositor, per bank. The guarantee covers deposits such as cash, savings accounts, and term deposits.

While depositor guarantee schemes offer protection to depositors in case of bank failures, there are still steps that individuals can take to protect themselves from the consequences of a bank run. One of the most important steps is to monitor the financial health of your bank. This means paying attention to the bank's financial statements, rating agency reports, and news about the bank's activities. If a bank appears to be in financial trouble or there are rumours about its solvency, it may be wise to consider moving your money to a more stable institution.

Another strategy for protecting your finances during a bank run is to diversify your holdings. This means spreading your money across multiple banks or financial institutions so that you are not overly exposed to any single institution. Diversification can help mitigate the risks of a bank run and reduce the potential losses that you may face in the event of a bank failure.

In addition to diversifying your holdings, it is important to keep some cash on hand in case of an emergency. This can help ensure that you have access to funds in the event that your bank is temporarily unable to process withdrawals. Having a small amount of cash on hand can also be useful in situations where credit and debit cards are not accepted.

Finally, it is important to stay calm and rational in the event of a bank run. Panic and fear can exacerbate the situation and cause people to make poor financial decisions. If you are concerned about the health of your bank, it is important to seek the advice of a financial professional or reputable news source.

In conclusion, bank runs are a serious concern that can have significant consequences for individuals and the financial system as a whole. While depositor guarantee schemes provide some protection to depositors in case of bank failures, individuals should still take steps to protect themselves by monitoring the financial health of their bank, diversifying their holdings, keeping some cash on hand, and remaining calm and rational in the face of uncertainty. By taking these steps, individuals can help protect themselves and their finances from the risks of a bank run.