Ten things every investor needs to know about offshore wind power September 5, 2019 | City Talk The solar and onshore wind industries have long been areas of focus for climate change investors, but offshore wind has always lagged behind because of its higher cost. However, that is set to change, with substantial growth likely in the sector over the coming years, as offshore wind approaches cost competitiveness with conventional electricity generation. [...]
Premier Asset Management merges with Miton to form £11.5bn asset manager September 4, 2019 Premier Asset Management has agreed a merger with Miton, creating a group with £11.5bn assets under management. An announcement by the two companies said the new business, which will be known as Premier Miton Group, would be “well positioned for future growth”. The new group would have been the fifth largest contributor to net UK [...]
UK private equity deal values double during strong first half September 4, 2019 UK companies led European private equity (PE) and venture capital (VC) activity during the first half of 2019, with the value of PE buyouts more than doubling. Overall PE buyout and related deal values for UK firms climbed to €23.3bn (£21.2bn) during the first half, an increase of 124 per cent on the €10.4bn seen [...]
Five sustainable investing myths September 2, 2019 | City Talk Given the dramatic rise in popularity of sustainable investing, it’s perhaps no surprise that a few misconceptions have come along for the ride. Sustainable investing – sometimes known as “ESG” investing because it considers environmental, social and governance risks and opportunities – has become increasingly important. Last year our employer Schroders found two-thirds of investors [...]
Hargreaves Lansdown drops Burford Capital after Muddy Waters short attack August 30, 2019 Hargreaves Lansdown has sold its holdings in Burford capital following a short attack on the litigation funding firm by US short-seller Muddy Waters earlier this month. The investment supermarket has dropped Burford from its Select UK Growth, Select UK Income and Select Global funds, said fund manager Steve Clayton in a statement on Hargreaves’ website. [...]
Poor broker performance reviews leaving fund managers in the dark August 30, 2019 Fund managers may not know how much money they are spending with brokers thanks to a failure to properly review the relationships, a new study has found. Despite the majority having procedures to review broker relationships in place, only 11 per cent of fund managers actually assess how all their brokers are performing, according to [...]
Investing ‘IQ test’ reveals the traits that could limit returns August 29, 2019 | City Talk Investors globally suffer from an ambiguity bias which can prevent them from taking risks with their investments and potentially lower their returns, Schroders investIQ test found. All investors have behavioural biases such as ambiguity aversion or impulsivity which can affect the way they invest. By understanding these biases, investors may be able to improve their [...]
Does Hargreaves Lansdown’s strategy cause too much money to pour into too few funds? August 28, 2019 Given that diversification is one of the most important principles of investing, we should question why the UK’s largest investment platform Hargreaves Lansdown doesn’t seem to be following this basic idea. This became apparent in the wake of the scandal around Britain’s most famous fund manager, as £1.6bn was funnelled into Neil Woodford’s still-suspended fund [...]
The chart that reveals the secret of value investing August 27, 2019 | City Talk Value investing is the art of buying stocks which are valued at less than their true worth and are awaiting a correction. History suggests that over the longer term value investing works, although past performance is no guarantee of future returns. But why does it work? Using data going back to the late 1800s, the [...]
Fresh blow for Woodford as suspended fund’s holdings take hit August 23, 2019 Neil Woodford has suffered his third setback of the day after it was announced that his suspended Equity Income Fund (EIF) significantly underperformed its industry benchmark. Link Fund Solutions, which is managing EIF’s suspension, said the fund had declined 11.15 per cent between 3 June and 21 August. By contrast, the fund’s industry benchmark – [...]