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

27 September 2016

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 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

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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

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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

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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

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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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Bank of England’s corporate bond buying sees eligible bonds outperform by 23%

16 September 2016

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The Bank of England’s recent release of the list of eligible securities for its corporate bond buying programme, has led to a material divergence between the “ins and the outs” according to Rory Sandilands, an investment manager within the fixed income team at Kames Capital, with those 92 issuers included outperforming by up to 10bps. […]

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Despite BHS and Tata, many DB pension schemes not factoring in risk of ‘sponsoring’ employer going bust as they bid for accelerated growth

16 September 2016

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The independent trustees of many of the UK’s largest pension schemes are not factoring the risk of the sponsoring employer getting into financial difficulties in their investment strategy, a leading consultancy has warned. The issue has risen to the top of the agenda following the high profile failure of BHS leaving its pension scheme members […]

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Lifetime ISA to avoid Help to Buy ISA pitfall – Treasury confirms it can be used to pay for home on exchange of contracts not completion

15 September 2016

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The new Lifetime ISA will avoid one of the most controversial aspects of the current Help to Buy ISA – the government bonus will be available to borrowers when they exchange contracts not on completion. The Help to Buy ISA has come in for sharp criticism because the bonus on the ISA does not help […]

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MPC holds interest rate at 0.25% – experts give their views

15 September 2016

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The Monetary Policy Committee of the Bank of England has maintained interest rates at 0.25%. Four experts give their verdict on what it means for your money and the economy. Homeowners yet to feel relief on interest rate payments Ishaan Malhi, founder and CEO of online mortgage adviser Trussle “Having cut the base rate to […]

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