Don't ignore volatility: Milford

Richard Pilley, an adviser at Milford Asset Management, pointed to data showing the performance of $100,000 invested in America's S&P500 since 1988.

If an investor missed the best five days in the market in that time, their investment would be worth $675,788 or 35% less than if they stayed invested the whole time.

If they missed the best 25 days, they would be left with just $404,781 now compared to $1.9 million if they had stayed in.

"Advisers should be encouraging clients to focus on their long-term goals rather than looking at short term market movements and other 'noise'," he said.