Why investors should beware increasingly unforgiving debt markets February 20, 2019 | City Talk Last year may have been a tricky one for US markets and investors but it was less so for the country’s businesses – at least, that is, to judge by the headline numbers on US companies filing for bankruptcy. According to figures from BankruptcyData.com, 58 companies totalling $52bn (£40bn) of assets declared themselves bankrupt in [...]
Passive management and relative returns? Fund managers urged to scrap investment jargon February 20, 2019 Fund managers have been urged to scrap jargon including absolute return, passive management, relative return and currency exposure by the industry body in order to help investors understand different products A total of three quarters of savers struggle with technical phrases, according to research by the Investment Association which today has called for firms to simplify [...]
Chilango’s minibond offers 8 per cent interest – that’s tasty, but is the burrito bond right for you? February 19, 2019 Last October, the burrito chain Chilango made headlines when it launched a new bond aimed at retail investors that pays an eye-popping eight per cent interest per year for four years. Compared to most high street banks, which currently offer just one or two per cent on cash savings accounts (well below the rate of [...]
Should investors be more concerned about China’s slowdown? February 18, 2019 The rise of China has been astonishing and its growing influence on the world is one of the economic forces discussed in our inescapable investment truths for the decade ahead. But economies don’t grow in a straight line. China is facing a transition period. It is a country we monitor closely and we believe its [...]
How to choose a provider for your Stocks and Shares Isa February 14, 2019 Isas are a popular way for savers to squirrel away money. And given that these savings accounts are free from both capital gains and dividend tax, the Stocks and Shares Isa is particularly appealing to investors. With all that said, not all Isas are created equal, and charges can vary wildly across providers. Platforms can usually be divided into those [...]
Investing in an Isa? Avoid these common behavioural mistakes February 14, 2019 Just before the end of the tax year, there’s the usual Isa rush where banks offer their best rates to entice you to hand over your money. Given that the returns are tax-free, it might seem like a no-brainer, and often, taking out an Isa will make sense. But it’s not necessarily always the case. [...]
Saving into a Junior Isa is a great way for new parents to invest in their children’s future February 14, 2019 Think back to when you turned 18 years old. What would you have done if, on that birthday, you were handed £40,000? Would you have splurged it all on travelling the world during a gap year, or would you have been prudent and put it towards a housing deposit? You could have used it to [...]
Turbulence and tailwinds: how savers can seek returns and save the planet February 14, 2019 Isa season is upon us. With just a few weeks left to go before the end of the 2018/19 tax year, canny savers are scrambling to use up their tax-free allowance before the 6 April deadline. The task became more of a challenge this year after the government, in a bid to bolster Britain’s savings culture, [...]
Five charts to gauge the environment for equities February 13, 2019 | City Talk Stock markets wax and wane. The period of time in which they move from a state of expansion (bull market) to one of contraction (bear market), before expanding again is known as the “market cycle”. Last year was an extremely difficult one for stock markets, prompting much commentary as to which ones had “corrected” (falls [...]
Against the tide of shareholder activism February 12, 2019 You cannot blame boardrooms today for being preoccupied, with everything from Brexit contingency planning to the prospect of a Corbyn government. Yet there is another, more pressing need for every UK listed business to be preparing for: activist investors. Shareholder activism, whereby an investor leverages their stake to put pressure on the management of a [...]