America hasn't just sneezed. It has come down with a virulent and highly contagious flu, for which no cure has yet been found.
The world's stock markets have plunged in response to the sub-prime fiasco, and in Australia all of last year's gains have been wiped out.
By mid-January superannuation funds had lost an average of 6 per cent of their balanced investment options.
After five years of incredible growth it looks very much like the return of a bear market. This time last year all the talk in the market was of a very comfortable sounding 'soft landing' in 2007/08.
The likes of Centro, MFS and Allco experienced anything but. The share prices of all three property groups collapsed in a universal vote of no confidence from investors in their debt-driven investment strategies.
It seems inconceivable now, but just seven months ago Allco was at the head of a consortium to buy Australia's flagship airline Qantas. Oh how the mighty have fallen.
At the time of writing, the S&P/ASX All Ordinaries was in free fall and nobody could see the bottom. For Australian superannuation funds life will all of a sudden get a lot harder.
After years of superlative returns, driven by soaring markets, it is now they can truly prove their worth to members. The tens of thousands of dollars spent on myriad alternative strategies and expensive teams of investment specialists will, we members hope, pay off.
Communication with members will now be at a premium. There will be a great many worried pension holders in the country in need of reassurance.
This month's feature explores member engagement, which is crucial at times like this. Inspiring confidence that financial institutions can do their job in a falling market will not be an easy task.
This is my last issue as Investor Weekly editor. I am heading back to the United Kingdom to take up a job in London.
It has been a great honour to cover the Australian investment market over the past 18 months. I have learnt a huge amount and was constantly in awe of the sophistication and scale of a market that in global population terms is a minnow.
I leave Investor Weekly in the capable hands of new editor Christine St Anne.
Goodbye and good luck.
