Investors suffer election jitters

Does the political uncertaintly make you want to sell? Hold your nerve
Investing tends to drop dramatically around elections, as it did when Tony Blair was elected in 1997 (Reuters )
Investing tends to drop dramatically around elections, as it did when Tony Blair was elected in 1997 (Reuters )

INVESTORS are being urged to “keep calm and carry on” despite the political uncertainty, which is likely to continue after the general election on Thursday.

Opinion polls suggest no party will secure an outright victory, which means prolonged negotiations to form another coalition are likely.

The uncertainty may spook investors into withdrawing money from the stock market.

Experts warn against such a knee-jerk reaction, particularly given that it often pays to go against the herd — that is, buy shares when everybody else is too nervous to.

Laith Khalaf of the adviser Hargreaves Lansdown said: “I would strongly advise investors not to base their decisions on the general election, or its outcome. If you sell your investments, you could find yourself out of the market