The emerging market comeback: Why investors are buying again June 24, 2014 Short-term volatility is likely, but the developing world offers some enticing valuations It’s been a difficult few years for emerging market equity investors. Even before the recent “taper tantrum”, which saw the “fragile five” economies of India, South Africa, Turkey, Brazil and Indonesia hit with enormous capital outflows as the Federal Reserve began to wind [...]
The new Isa is arriving: What you need to know about it June 24, 2014 ON 1 July, the new Isa (Nisa) arrives. Announced in the Budget this year, the Nisa is both a simpler product and allows investors to shield more money away from the taxman. The annual Isa allowance will rise to £15,000, an increase of £3,480 from 2013-14. And while investors have previously been limited in how [...]
Stock market correction: How to protect yourself from losses June 17, 2014 Income can help you weather any volatility, but be wary of bonds AFTER a stellar few years for global stock markets, concerns are growing over a looming correction. The S&P 500, Dow Jones Industrial Average, FTSE 100 and MSCI All-World share index have all been at or near record highs in recent weeks, and valuations [...]
Investment Comment: How to invest in markets that are now hitting all-time highs May 20, 2014 The UK and US are consistently beating growth expectations – but sensible investors should proceed with caution THE GOOD news? The UK economy is recovering very well, consistently beating growth expectations. We’re seeing increasing levels of merger and acquisition activity, while the FTSE 100, S&P 500 and Dow Jones indices have all been at, or [...]
How to prevent investment fees from eroding long-term returns May 13, 2014 In a low interest rate environment, the power of compounding can make fee leakage a sizeable drain on your wealth IN A LOW growth environment, high fees equate to long-term wealth destruction. In the year to date, most asset classes have struggled to post positive returns, UK inflation (on the consumer price index) is at [...]
The big fund debate: When it pays to go active May 13, 2014 GOVERNMENT proposals last week that £85bn of assets controlled by local authority pension funds be switched to passive index trackers have intensified the debate over the value of active managers and the fees they charge. Some experts take a “passive where possible” approach, dismissing the ability of fund managers to outperform on the back of [...]
Why it’s not too late to play the UK’s economic recovery April 29, 2014 But investors must be ultra-selective to see any long-term gains AFTER two scintillating years for British equities, which saw shares boom alongside a surprisingly strong economic recovery, many UK-focused stocks have come off the boil. The mid-cap FTSE 250 (whose constituents draw over half of their sales from Britain) is down almost 0.6 per cent [...]
Where to put your money to see real returns on cash April 15, 2014 Current accounts offer eye-catching rates, but remember the tax advantages of Isas WITH inflation dipping to 1.6 per cent on the consumer price index in March, and competition starting to hot up among retail banks, many current accounts are now offering the chance to earn decent real returns on cash. As many as 10 new [...]
Investment Comment: Three principles to guide Isa investors for the long term April 15, 2014 Multi-asset funds will likely become increasingly popular as the bumpy global recovery continues WHEN investing in your Isa, the first step – getting your money in place before the end of the tax year – is the easiest. But now that savers have secured their use-it-or-lose-it annual allowances (currently up to £11,880 in a stocks [...]
Future star fund managers revealed April 8, 2014 A number of the industry’s big beasts have moved on, leading some to question the value of active management A NUMBER of the fund management industry’s big names either retired or moved on in 2013, turning the spotlight onto the importance of investors keeping abreast of who is managing their money. But while star managers [...]