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Is the correction over?

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It's been a tough month for investors. After a blissful 18 months, the 'markets can only go up' narrative seems to be wearing thin.

Despite a late surge on the last day of the month, the S&P 500 wrapped up its worst month since March 2020, with the tech-heavy Nasdaq narrowly avoiding its worst-ever start to the year.

The Nasdaq is now very much in correction territory, down 12% in 2022, with the S&P 500 down 7.0%.

If you dig a little deeper, the true extent of the volatility becomes more apparent. One in three companies in the Russell 3000 Index (Index of the entire US public stock market) has fallen more than 40% from their 52-week highs. An ode to index investing and a stark reminder that stock picking is hard.

Death to Social Media

Shares in Facebook plummeted as much as 22% following a less than convincing earnings report that saw Meta record their first-ever fall in global daily active users (DAUs).

The daily loss of $230 billion was the largest one-day loss in the history of Wall Street and sent ripples through markets. It wasn't just Facebook suffering; social media contagion saw other players decimated, with Snap, Twitter and Pinterest recording significant losses.

Snap plunged by over 20% following Facebook's earnings call, but reported their first-ever profitable quarter later that evening to send its stock soaring by as much as 62% at one point! This crazy two-day price fluctuation should function as a cautionary tale for investors.

These short-term price movements are rarely logical, typically over-reactive to the extreme and impossible to decipher in real-time.

Don't Look

For most, last week's volatility should function as a reminder that you are not doing yourself any favours by watching the play-by-play if you're not a full-time trader.

Ultimately if you have a longer-term time horizon, you're adding undue stress and anxiety by over-analysing each tick higher or lower.

So here is your timely reminder to stop checking prices. Log out of your brokerage App. Remind yourself why you invested in the first place instead of fixating on the daily price movements.

Nothing New Here

Remember, stock market losses are a regular occurrence. Since 1950, the S&P 500 has had an average drawdown of 13.6% over a calendar year. And yet, markets have continued to grind higher over time.

The volatility you get from stocks is the prices you pay for the high returns they offer. It's not free.

Outlook

Predicted increases to the FED Funds rate have led to much of the recent sell-off. In my opinion, these rate hikes are priced into markets, and much of the correction has been completed.

With that said, volatility is here to stay with geopolitical tensions in Russia, inflation uncertainty and the tapering of economic stimulus at the forefront of investor sentiment.

It is unlikely to be as easy as it has been with valuations stretched in places, but it is hard to get overly negative with fundamental trends so solid.

Earnings remain strong, valuation metrics are contracting, GDP is at an all-time high and continues to grow, company margins are improving, and consumer demand is now above pre-pandemic levels.

The game isn't over. It all just gets a little harder from here.

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Paralympic legend Jason Smyth visits St Brendan’s

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Paralympic legend Jason Smyth visits St Brendan’s


World renowned Paralympian and world record holder Jason Smyth paid a visit to St Brendan’s College on Wednesday afternoon as part of a high profile visit to Killarney.


The six time Paralympic gold medallist spoke to second year students from St Brendan’s College, alongside students from neighbouring schools St Brigid’s Presentation Secondary School and Killarney Community College.
The interactive talk and interview took place ahead of World Sight Day, with the legendary sprinter sharing his personal journey with Stargardt disease, a genetic eye condition that left him legally blind at eight years old.
The Derry native, who holds the world record as the fastest Paralympian on earth over 100 metres, offered inspiring insights into overcoming physical adversity and achieving success at the highest level of world sport.
The school visit formed the opening leg of his Killarney schedule before he took centre stage later on Wednesday evening at The Killarney Plaza Hotel & Spa.
Smyth headlined An Evening with Paralympian Jason Smyth, an event organised by the Killarney Chamber of Tourism and Commerce as part of its winter schedule, sponsored by AIB.

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Deerpark Retail Park placed on market for fifteen million euro

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Deerpark Retail Park in Killarney has officially been placed on the market with a guide price in excess of 15.4 million euro, excluding VAT.

International real estate firm Cushman & Wakefield has been appointed as the sole sales agent to handle the high-profile commercial property sale on behalf of its current owner, Investcorp.

Investcorp, a global investment management firm headquartered in Bahrain, had previously acquired the prominent shopping complex.


The sale represents one of the largest commercial property offerings to launch in County Kerry this year.

Located roughly 1.3 kilometres west of Killarney town centre, the scheme enjoys strong regional connectivity and sits adjacent to independently owned operations including a Tesco Extra store, a Tesco petrol filling station, JYSK, and Aldi.


Constructed in 2006, the development extends across approximately 10,482 square metres, or 112,835 square feet.

The scheme comprises a mix of modern retail warehouse units and a complementary neighbourhood centre, offering 13 individual units in total with Part Open and Part Bulky Use planning permission.

The units range in size from 94.6 square metres up to 1,994.9 square metres. Visitors have access to approximately 248 customer parking spaces across the commercial grounds.

The park is currently 100 per cent occupied by a strong line-up of established national and international brands.

Key retail tenants include Marks & Spencer, Boots, DID Electrical, Maxi Zoo, and Mountain Warehouse.

The neighbourhood centre element accommodates service and convenience operators such as Costa Coffee, Card Factory, and Salon B.

The first-floor accommodation is fully let to Peak Performance Academy, which provides additional rental diversification.

Additionally, the scheme benefits from an agreement with Tesla to operate eight electric vehicle charging bays within the customer car park.


Commercial figures show that the property generates a total current rental income of 1,326,458 euro per annum, with a weighted average unexpired lease term of 4.45 years to break options and 6.46 years to lease expiry.

Cushman & Wakefield noted that the quoted guide price of 15.4 million euro reflects a net initial yield of 7.83 per cent, assuming standard purchaser costs of 9.96 per cent.

The selling agents highlighted that the fully occupied asset offers investors an attractive income profile alongside scope for additional income generation through parking commercialisation.

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