How does geopolitics impact investment returns and what can you do about it?

Schroder’s economists have analysed the effect geopolitical risk can have on investors’ portfolios. Should investors simply hold their nerve during volatile times? Or is it better to entrust fund managers able to take a more dynamic approach? Geopolitics can significantly impact investment returns; whether it’s trade wars, actual wars, populist politicians or terrorist attacks. Geopolitical … Continue reading “How does geopolitics impact investment returns and what can you do about it?”

Hunting for income

The bond markets have risen a lot this year, leaving very low yields or negative returns on many bonds. It is true you can still get a better income if you want to take more risk by buying a bond issued by companies that may struggle to repay. There is not so much extra income … Continue reading “Hunting for income”

A balanced view: Investors wake up to fundamentals

While markets of late have been dominated by positive returns across all asset class, 3 factors drove Equities down in August: US corporate reporting season highlighted the deteriorating health of the underlying business, provided an earnings recession. Trade wars continue to run – the longer they do, the more lasting and permanent the drag on … Continue reading “A balanced view: Investors wake up to fundamentals”

Ten things every investor needs to know about offshore wind power

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. … Continue reading “Ten things every investor needs to know about offshore wind power”

The G7 solves nothing

The meeting of leaders over the weekend in Biarritz led to US President Donald Trump’s tweet suggesting there could be more trade talks with China after all. It was sufficient for a modest rally, after the tariff-induced sell off last week. The markets remain fixated by the twin stories of possible rate cuts to come, … Continue reading “The G7 solves nothing”

How long will you live and what does it mean for your investments?

Latest life expectancy data shows that your money will need to last a lot longer than you might be thinking.  Thirty-five years ago, an average 60-year old man could have expected to live an extra 18 years, to age 78. Today, the average 60-year old man should expect to live to 85. That’s according to … Continue reading “How long will you live and what does it mean for your investments?”

Jaw-jaw at Jackson Hole: Fed exercise to restore lost credibility could end up harming it further

This month’s Jackson Hole symposium is intended to address the ‘challenges for monetary policy’. In reality, the debate will probably be around the merits or otherwise of the US Federal Reserve (Fed) continuing to cut interest rates or not. The Fed finds itself at a taxing junction. It needs to reassure investors that it has … Continue reading “Jaw-jaw at Jackson Hole: Fed exercise to restore lost credibility could end up harming it further”

Brexit – opportunity in uncertainty?

The UK is set to leave the EU on 31 October. Under new Prime Minister Boris Johnson the prospect of a ‘no-deal’ Brexit – once viewed by many as unthinkable – is now a real possibility.  The questions are: what might be the fallout if the UK crashed out of the EU? And what would … Continue reading “Brexit – opportunity in uncertainty?”

Looking back at the markets through July

A selection of articles looking back through the markets last month.   Global market review Possibility of “no deal” moves closer Boris Johnson beat Jeremy Hunt during July to become the new leader of the Conservative Party and the UK’s new Prime Minister. The new Government’s harder-line approach to Brexit – and the increased prospect … Continue reading “Looking back at the markets through July”

Italy’s 66th government since WW2 looks set to fall

Trade continues to dominate the headlines with Donald Trump’s tweets around US tariffs driving sentiment. The emergence of China’s appetite to use its currency as a shock absorber also added volatility. August’s volumes are traditionally lighter and that helped catalyse a very weak start for US equities albeit a lot of the losses had been … Continue reading “Italy’s 66th government since WW2 looks set to fall”

Will the UK economy slip into recession?

Disappointing GDP data shows the UK economy contracted in the second quarter and raises the risk of the country entering a technical recession. The UK economy contracted by 0.2% in the second quarter, following 0.5% growth at the start of the year. What was behind the data? A sharp drop in manufacturing output (-2.3%) over … Continue reading “Will the UK economy slip into recession?”

There’ll be no swift resolution to this trade war

As Donald Trump threatens to put tariffs on all imports from China and Beijing tells its state-owned organisations to stop importing US agricultural products, the trade war looks set to drag on. At the end of last week’s trade talks between the US and China, there were no signs of a breakthrough. Beijing made a … Continue reading “There’ll be no swift resolution to this trade war”

Illiquidity isn’t a dirty word…

In the past month, tales of unexpected illiquidity have hit the headlines, and investors are understandably concerned. With Mark Carney, Governor of the Bank of England, declaring investment funds have been “built on a lie”, and the media revealing that the FCA was aware of breaches at the now suspended Woodford fund for over a … Continue reading “Illiquidity isn’t a dirty word…”

What are the different styles of investing?

When it comes to share investing there are plenty of theories about what might produce the best returns. There is no single right answer to investing. People’s needs differ. People’s attitudes to risk vary. Market moods swing, making it difficult to be sure which type of investment will do well. All these uncertainties do not … Continue reading “What are the different styles of investing?”

Boris Johnson: the challenges faced by the new UK PM

Boris Johnson has won the Conservative Party leadership contest to succeed Theresa May as Prime Minister. The former Foreign Secretary and Mayor of London beat Jeremy Hunt, the current Foreign Secretary by a wide margin: 66% to 34% of the votes. From the outset, Johnson must navigate a deeply divided party, and a shrinking majority … Continue reading “Boris Johnson: the challenges faced by the new UK PM”