QE economies poised on a knife-edge between inflation and recession

28 September 2016

insight

Jan Dehn, head of research at Ashmore, suggests that a fear of policy decisions in developed economies is completely rational; the effect of a bad policy decision is heavily exacerbated when made under already bad conditions. He explains how QE economies are poised on a fine knife-edge between recession and inflation, saying that small policy […]

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Deutsche Bank distractions

28 September 2016

insight

Mark Holman, CEO of TwentyFour Asset Management, looks at the prospects for Deutsche Bank and that US Justice department fine. There are a number of themes building in markets but what is lacking at the moment is a clear directional driver. We have had the Fed, we have had profit taking, we now have US […]

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Investors flock to take lifetime allowance protection on their pension savings

28 September 2016

insight

Some 17,453 applications have been received for lifetime allowance protection since the online service was launched on 28th July says HMRC. It has also received 617 applications related to the 2014 reduction in allowance from £1.5 million to £1.25 million. Nathan Long, senior pension analyst at Hargreaves Lansdown says: “Pension investors have flocked to register […]

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Expert Opinion: From Arkwright’s to Amazon

28 September 2016 by Steve Herbert

insight

Napoleon Bonaparte once derisively described Britain as a “nation of shopkeepers”. It was and is a rather lame insult, but like many such comments contains more than a grain of truth.  For despite our tiny geographical presence the UK remains one of the largest economies in the world. So shopkeepers and business people we Brits […]

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A traditional 60% equity 40% bond portfolio split? Psigma asks why bother?

27 September 2016

insight

 Rory McPherson, head of investment strategy Psigma looks at the underwhelming prospects of traditional asset classes. “Why bother?!” That’s not a cry for help by the way, but the question I believe investors should be asking themselves in today’s world, where traditional assets are expensive and growth rates are low. Add into the mix that […]

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Pension scheme membership hits record 33.5 million but defined contribution rates of 4% nowhere near enough

22 September 2016

insight

Pension scheme membership is at record levels, but Hargreaves Lansdown has warned that defined contribution savings levels are nowhere near high enough. Defined benefit pensions, the vast majority of which are in the public sector, has rates averaging more than 5 times the level of DC at well over 20% of earnings. Total membership of […]

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Bank of England says outlook post Brexit still challenging

22 September 2016

insight

The Bank of England has released the minutes of its Financial Policy Committee (FPC) continuing to warn of uncertainty following Brexit. The Bank’s FPC has reviewed developments since its meeting on 1 July and since the 23 June referendum. The committee noted that financial system has demonstrated resilience to spikes in uncertainty and risk aversion […]

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Expert Opinion: How to buy equities after Brexit

22 September 2016 by Darius McDermott

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Almost three months on and the UK stock market has soared since the Brexit vote, up more than 10% from June 241. It’s been a nice morale boost amid some fairly gloomy predictions for Britain’s future, not to mention a welcome lift to returns for investors. Market reactions so far have been mostly driven by […]

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Pensioner incomes double over two decades but will the next generation be as well off?

19 September 2016

insight

Pensioner incomes have almost doubled over two decades, rising from £155 per week in 1995 to £297 in 20151 according to an analysis by pension firm Aegon. While the gap between pensioner and worker incomes has closed and there is just a 7% difference today, the report ‘The Golden Age of Retirement – Does rising […]

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Expert Opinion: From austerity to neutral, and beyond?

16 September 2016 by Chris Iggo

insight

Bond yields have risen over the last week. Not by much but by enough to wake up investors to the risks of depressed risk premiums and the dangers of central bank dominance. The policy backdrop might not change materially any time soon but there is enough talk about different policy directions for investors to understand […]

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