Tag Archives | investment

Market Update 1st October 2016

As you might expect, I look back at the past month and year-to-date but I give more space to looking forward over the next month and more. Project Fear is now yesterday’s story and the threatened calamities (it would be wrong to call them forecasts) have been overtaken by positive events. Nonetheless, the road to […]

Continue Reading Comments { 0 }

Investing in Bonds, a good move in 2016?

A good move always not just in 2016 because bonds are a core element in the assets held under the Defensive element of a broad-based asset allocation. In portfolios without a Defensive element, there probably will not be any bonds. When income is required, bonds provide a reliable source.

Continue Reading Comments { 0 }

Why are we studying another old fart?

That is the right question with the wrong attitude. We are studying the successful managers of yesteryear, with a glance at their modern counterparts.

Successful Investors – What do they look like?

These are investors who take a long-term view. One of Warren Buffett’s noted quotations is: “Only buy something that you’d be perfectly happy to hold if the market shut down for ten years”. Contrast that with the investment advisers and private investors who sold property and equity funds immediately following the Brexit vote.

Continue Reading Comments { 0 }

Market update 1st September 2016

The personal financial pages have recently contained more warnings than usual of a stock market bubble and the crash that will follow its bursting. The concerns were not restricted to the London stock market but were worldwide. The London Stock Exchange (LSE) is no longer suffering from a Brexit headache. Project Fear has been shown to be an illusion and we do not yet know what will follow Article 50.

Continue Reading Comments { 0 }

“What would be a safe rate of interest for a widow to earn? “Probably about 8 per cent!”

That quotation is taken from a presentation to a conference of financial advisers in 1979 in the USA. That was then regarded as a sensible, cautious and realistic response when planning return on investment. In the UK in 1979 inflation was recorded as 13.4% and the bank base rate ranged between 12% and 17%. Similar […]

Continue Reading Comments { 0 }

It is really rather sad; another investor led astray

I suppose I might be seen as rather boring but so often it seems necessary that I say: “stay in the mainstream, it’s safer.” This post is based on a report in The Sunday Times in June 2016. It is the story of Mr B who seems to be about to lose his life savings. […]

Continue Reading Comments { 0 }

“I’m scared of living any longer – our money has all gone”

It highlighted for me the worst nightmare for any pensioner – a cash shortfall

Continue Reading Comments { 0 }

Volatility is the heart-beat of the stock market

For so many private investors ‘volatility’ is a dirty word because the fluctuation of prices conjures up ideas of uncertainty and risk. In contrast, cash is held to be ‘safe’ because the price does not change constantly but it is cash that loses a little value almost every day because of the effect of inflation.

Continue Reading Comments { 0 }

The Referendum and Your Investments

On 23 June 2016 UK voters will respond to a referendum with a simple ‘Yes’ or ‘No’ vote in order to answer the question “Should the United Kingdom remain a member of the European Union?”. Advocates of both camps argue that the future of the country can only be secured by voting for their proposition. […]

Continue Reading Comments { 0 }