How to Navigate Capital Gains Tax Allowance
Cuts to the Capital Gains Tax (CGT) exemption mean it is now more critical than ever to arrange your investments tax-efficiently. For the tax year 2024/25, the CGT allowance has been reduced to £3,000, allowing you to make tax-free gains up to this amount. However, any gains above this limit may be subject to CGT.
Market Update: Up and down and on and off
Last week began with, potentially, a very distasteful pill to swallow. On Friday 31st evening, just before 6pm GMT and after European markets had closed, Trump announced another 10% of tariffs on China and new 25% tariffs on Mexico and Canada, the US’ closest and single largest trading partners, all to begin on the following Tuesday.
Market Update: AI upset challenges market status quo
It has been another interesting week in markets, although for different reasons than recently. Most of the major regional stock indices have performed well, but global equities are down in aggregate. This is largely down to the underperformance of Nvidia, following the release of a low-cost, more micro-chip efficient AI model from Chinese start-up DeepSeek.
Planning for a Comfortable and Rewarding Retirement
The five-year countdown to retirement marks a pivotal phase of introspection and detailed preparation. A well- thought-out plan is essential for a comfortable and rewarding retirement, from ensuring financial stability to thinking about healthcare, housing and the lifestyle you hope to enjoy.
Market Update: Trump trade still on?
Capital markets were a sea of green in Donald Trump’s first week back in office. Investors’ serenity stands in contrast to the rhetoric and early flurry of policy from the US president. We have said before that markets may not to appreciate the risks of a second Trump presidency, but US positivity – at least for the near-term – is undeniably justified by the real economy. Hopefully, some of that positivity can spread to the gloomier corners of the global picture, most notably Europe.
Market Update: Calmer markets ahead of Trump inauguration
With global stocks bouncing back over 2%, last week was the best of the year! UK investors did not even have to rely on a weak pound to bolster Sterling-based returns. French stocks gained over 4%, while smaller cap stocks in most regions have outperformed larger caps – all good signs for broad-based growth.
Market Update: UK bond yield surge – more than meets the eye
Bond market woes took centre stage again last week. Much of this was driven by the strength of the US economy, as shown by Friday's strong employment data and signs that US consumer services are powering ahead (although, interestingly, wages rises were well-contained). We should bear in mind potential political effects, however, which need to be monitored this year.
Autumn Budget 2024 Recap
The Autumn Budget Statement 2024 introduced a range of changes that could significantly impact wealth planning strategies. From pensions and tax adjustments to shifts in the treatment of business and agricultural assets, the statement calls for individuals with substantial wealth to reassess their long-term financial goals. These changes present challenges and opportunities depending on your personal and financial circumstances.
Market Update: Happy New Year!
We start this year with a condensed Market update, sharing with you a few thoughts about some relevant events over the holiday period and the first few days of 2025. Next week, we will be back to the usual extensive format, bringing you a full account of asset class performance for December and for 2024. In the meantime, we show various asset classes (some of which overlap each other) so readers can get an idea of which areas did best and worst.
Market Update: Fed spoils the Christmas Party
Not only did the ‘Santa Rally’ not arrive this year, but global stocks had a notable sell-off on Wednesday night. This came after the US Federal Reserve (Fed) told investors not to expect many interest rate cuts in 2025, a pretty stark change from the giving mood they displayed last Christmas.
Individual Savings Accounts (ISAs)
For UK residents, one of the most effective ways to minimise tax on investment returns is through an Individual Savings Account (ISA). These accounts are a 'tax-efficient wrapper', safeguarding your interest, dividends and capital gains from taxation. Whether your financial goals are short term or long term, ISAs can provide the flexibility and security you need.
Market Update: Don’t fear the rebalance
Capital markets were choppy last week, unsurprisingly. At the end of a very strong year in stock markets, investors typically rebalance their holdings and take profits, so mild selling pressures are to be expected. This absence of a Santa Rally should not be taken as a sign of underlying risk sentiment deterioration. On the contrary, overall risk appetite feels strong – particularly from bullish US investors.
Planning and Preparing for Retirement
As we navigate life, reaching our 50s and 60s often brings retirement into sharper focus. This phase heralds a well-earned respite from years of dedication and hard work. For many, retirement is envisioned as the most extended holiday of their lives, offering opportunities to travel, engage more deeply with hobbies or spend cherished moments with family and friends. However, realising this idyllic vision requires thoughtful financial planning.
Market Update: Focus turns to Europe
November was a month to remember in terms of news and, for the US especially, one which was positive for economic and market optimism. We cover asset class performance in our usual monthly market review in an article below.
December Team News 2024
Hello and a very warm welcome to the Vizion Wealth Team News, Christmas is now fast approaching and we hope you are all looking forward to the festive period. We hope you have also had time to recover from any shocks in the budget on 30th October.
Market Update: Equities and bonds go separate ways
Although developed market equities were calm in sterling terms, stocks were more turbulent in local currencies. France was notably hit by the fragmenting of its ruling parliamentary “alliance”. Emerging markets were even less happy, partly thanks to Trump. Brazil was the weakest, after President Lula announced softer-than-expected spending cuts, threatening future fiscal stability.
Market Update: More and More Loose Ends
We are getting to that time of year when investment houses like us write their annual market outlooks. That is easier to do if the loose threads wrap themselves up before Christmas, but right now the opposite is happening. Uncertainty is growing, and it is creating a wide range of plausible medium-term scenarios. Some of them are very bullish for markets and the world economy, while others are more worrying.
Market Update: Reading Trump’s Tea Leaves
It was an up and down week for global stocks. Markets initially showed confidence in Donald Trump’s tax cut and deregulation agenda – but pulled back when Federal Reserve chair Jay Powell suggested interest rate cuts might have to be gradual. The S&P 500 was flat for most of the week but tumbled this afternoon amid rising bond yields. This came against a backdrop of strong gains last week, a sharply higher dollar and weak equity markets in most other regions.
Market Update: Known winner, unknown outcomes
For the sake of investors, we hoped for a quickly resolved US election, and we got one. Capital markets responded well to Donald Trump’s surprisingly decisive win, with US stocks rallying from Wednesday on. Investors deemed it good news for the US, but less so for Europe and the UK, whose stocks had a tougher week. This side of the Atlantic, equities and currencies sold off and underperformed rampant US markets by a remarkable 5%.
Market Update: US, not UK battening down the hatches
Rachel Reeves’ autumn budget dominated the UK news last week, but global investors were yet again preoccupied with the US election. Both created market jitters for UK investors, culminating in a noticeable fall in global stock prices on Thursday. We wrote theweek before last that traders were bracing for a consequential and uncertain election – which could create volatility as trading volumes thin. That is exactly what we see happening. The good news is that the underlying economic picture has not changed. The bad news is that nerves will stay high until we know who the next US president will be – and we might...