America’s record bull market: five charts that tell the story August 24, 2018 The US stock market is on its longest bull-run in history. It began on 9 March 2009 and, so far, has lasted nine years, five months and 13 days. As of today, it beats the great equities performance of the 1990s. A bull market is broadly defined as one that rises over time without falling [...]
Two years on: how Brexit has affected the UK economy July 22, 2018 The UK economy was supposed to plunge into recession soon after the vote to leave the EU, but the majority of forecasters were wrong. Consumer confidence remained positive, encouraging increased spending, despite a slowdown in almost every other sector of the economy. As household consumption is a large contributor to GDP growth, it more than [...]
Pension savers hoping for ’74 per cent of salary’ in retirement may face a shock July 3, 2018 After a lifetime of saving, investors may be in for a shock when they come to retire, the results of a global study suggest. Investors close to retirement (aged 55 and over) expect they will need income equivalent to 73.9 per cent of their current salary to afford to live comfortably in retirement. But those [...]
Is the high street really doomed? June 26, 2018 UK high street retailers have endured a torrid time over the last few years. A slew of store closures, job losses and administrations don’t make for pretty headlines, and illustrate just how difficult it is for those looking to invest in the retail sector. Discount retailer Poundworld followed electronics firm Maplin and toy retailer Toys [...]
Brexit vote two years on: seven charts that tell the story June 22, 2018 On 23 June 2016, the UK public voted on whether or not to stay in the European Union (EU). Many expected the UK to remain in the EU, but by a majority of 52% to 48% the Leave campaign won. The UK is scheduled to leave the EU at 23:00 UK time on 29 March [...]
Which countries are most at risk from a trade war? June 14, 2018 The US and China have been trading fierce rhetoric over the past two months, threatening to slap billions of dollars' worth of tariffs on each other's goods and services. If the skirmish turns into a full-blown trade war could it threaten the global economic recovery? While the current dispute between the two countries hasn’t officially [...]
The ‘£17,808 cost’ of mistiming your FTSE investments March 21, 2018 Buying low and selling high is every investor’s goal. However, timing the market precisely is notoriously difficult, if not impossible. Research undertaken by Schroders shows how costly it can be when the timing is wrong. Over three decades, mistimed decisions on an investment of £1,000 could have cost you nearly £18,000-worth of returns. Our research [...]
This stock market index rose 289% but could still be good value March 17, 2018 Over time, smaller company shares have outperformed larger ones, research shows. The FTSE Small Cap index has risen 289% since its nadir in February 2009, compared with a 158% rise for the FTSE 100. Because of their size, “small caps” have the potential to grow more quickly. The quicker a company can grow its earnings [...]
How reinvesting FTSE 100 dividends has affected Isa returns since 1999 March 12, 2018 Reinvesting dividends is one of the most powerful tools available to boost returns over time. Investors in the FTSE 100 would certainly have noticed the difference over the last 18 years. For instance, if you had invested £1,000 on 31 December 1999 in the FTSE 100, the capital growth would have produced a notional return [...]
What ‘dividend cover’ says about the safety of stock market income March 8, 2018 The income paid by stock market companies to investors could be about to come under pressure. The twice yearly payments made to investors can be a vital income supplement for those in retirement. Others reinvest the dividends to boost long-term returns. But research compiled by Schroders shows European and US companies are diverting a [...]