Investors are being warned not to panic at the news that the UK has officially entered a bear market as experts say opportunities still lie ahead.

On Friday the FTSE 100 closed in bear market territory for the first time since 2001, falling more than 20 per cent from a high of 6,730 in June 2007 to close at 5,262. The S&P 500 hit 20 per cent below its recent high – the definition of a bear market – on Wednesday. Miners, housebuilders and banks were among the stocks hit hardest in the downturn.