Market Update: Signs of ‘peak inflation’ emboldens markets
There were three big market-moving stories last week: the US midterm elections, the latest crash in the surreal world of crypto currencies, and the release of US inflation data for October. By Friday, it was the lower-than-expected inflation data that dominated in terms of market activity.
Inheritance Tax Receipts Reach £6.1 billion
We all want to leave a legacy and make sure the ones we care about most are well taken care of when we’re gone. That’s why making plans for Inheritance Tax is so important, to have confidence that your children, grandchildren and those you hold dearest will be taken care of long into the future.
Market Update: Diverging paths accompanied by seasonally scary messages
Considering the gloomy news last week from central banks in the US and UK, investors enjoyed a decent enough start to November. Following on from the rebound over the second half of October, it has been welcome news that capital markets no longer seem to overly mind when central banks push through yet another set of jumbo rate rises, accompanied by a continuation of gloomy outlook statements.
Market Update: US slows, Europe’s winter outlook improves, UK back to start
The most turbulent October experienced by UK bond markets since 2008 is drawing to an end and one could easily get the impression nothing of significance happened. Sterling is back to where it traded just before that fateful 23 September ‘fiscal event’, and bond yields are likewise roughly back to where they started in Autumn. This is good news: it shows the UK still has effective institutions capable of reversing errors and preventing major collateral damage. Unfortunately, though, some of its credibility in international capital markets has been lost. As a result, the government’s fiscal headroom of what it can...
Your Financial Roadmap
When it comes to planning for your financial future, a roadmap can be an extremely helpful tool. By outlining your current situation and mapping out where you want to be, you can develop a clear plan of action that will help you achieve your financial goals.
Market Update: The World Beyond the UK
Given the volatility in UK politics over the week, broader capital markets felt like a sea of calm in comparison. As far as the outcomes from the political side are concerned, markets had already priced in the upside on sterling, based on the belief unfunded tax cuts were no longer on the agenda, but not another leadership hiatus or even the possibility of an early general election.
Guide to Maximising Pension Savings
Many people are feeling the pressure on their finances at the moment due to the backdrop of rising inflation and the cost-of-living soaring. In these circumstances, it can be difficult to think about your long-term finances or even contemplate saving for the future. Even in the current climate there are ways to maximise the value of any pension savings you do have.
Market Update: Will the UK Property Downturn Change the Investment Landscape?
In the wake of Kwasi Kwarteng’s ill-received budget, mortgages were the hot topic. Lenders pulled swathes of mortgage products in expectation of sharply higher interest rates from the Bank of England. When those products were reintroduced a few days later, the rates offered were three to four times higher. The potential effects on consumers and households were well-publicised – and the backlash therein was no doubt a big motivator for the government’s partial U-turn.
Market Update: Reading the Runes of Last Week’s Market Bounce
Market volatility has been in the air all year and given the macroeconomic backdrop this is not at all surprising. A weakening global economy marred by war and labour market-driven supply squeezes, while simultaneously trying to cope with aggressive central bank rate hiking to prevent inflation turning permanent, all makes for the distinct whiff of recession. But volatile markets do not always swipe down, as the beginning of last week showed, nor do they stay volatile forever.
Market Update: Loss of Trust?
Last week provided the evidence for the fragility of capital markets as they grapple with the strain of transitioning from an ultra-low interest rate environment back to the one we knew before the global financial crisis of 2008. A policy mistake around the smaller part of the UK government’s fiscal measures aimed at fending off a looming recession rattled international capital markets to such an extent that it is now likely to create far more headwind than support for the UK’s economy in the winter ahead.
Guide to Family Protection
Welcome to our Guide to Family Protection. There are various complex risks in life that we all face, such as serious illness, an accident or death. What would happen if something were to happen to you? Would your family be able to cope financially with the impact an unexpected event might have?
Market Update: Competing Policy Measures Leave Markets Worried
The last two weeks have been sobering for investors world-wide, with all major markets (including bond markets) falling between 5% and 10%. This has come after an encouraging recovery rally over the summer that was driven by falling oil prices, which fuelled expectations that the worst of the inflationary headwinds were behind us, allowing central banks to pause their aggressive monetary tightening course, and that a turnaround in economic fortunes was therefore imminent.
Market Update: The Fed at work and China snubs Putin
Starting with investment concerns, the consequences of a European war continue to dominate our economy and markets, as it does throughout Western Europe and, to some degree Asia. Meanwhile, seemingly unaffected by the rest of the world, the US is blazing its own trail.
DPMS Portfolio Commentary September
Q3 of 2022 has proved much more positive than the first half of the year despite the backdrop of recessionary warnings across the globe. Whilst Central Banks have continued to push interest rates higher at each opportunity, global inflationary figures have started to look as though they are starting to peak, with the US proving the key indicator for global inflation. However, there remain concerns for economic growth forecasts across developed economies being dampened by inflationary pressure and subsequent interest rate rises.
How to Reduce Inheritance Tax by Leaving a Gift
When you’ve worked hard and invested carefully to build your wealth, you want to look after it. That’s why it’s important to plan for your wealth preservation and the eventual transfer of that wealth.
Market Update: The End of Eras
With great sadness, we pass from the second Elizabethan age. Our Queen was a constant during this period of intensely rapid change. Across the political spectrum, we can acknowledge her ceaseless responsibility to her people. She retained her dignity as monarch throughout her reign supported by her faith and her humanity that was obvious to all.
Market Update: Waiting for Policy Action
The summer is nearing its end and with it the return of the more typical English late summer climes. It may feel as if markets have taken a hint with their 5-day downdraft until Thursday, although most outsiders will look at the week’s media frenzy and blame the tumble on the truly intimidating outlook for energy bills during the winter heating season.
Show me the money!
It’s not surprising that the world of investing can seem complex, especially in the current global economic climate. Investors face an endless supply of market news, many investment choices and often-changing market conditions.
Market Update: Delicate equilibrium
All eyes were on the world’s central bankers last week, who are guests of the US Federal Reserve (Fed) at its annual conference in Jackson Hole, Wyoming. Markets are particularly eager to hear what Fed chair Jay Powell has to say – hoping that his speech will give hints on the direction of US and global monetary policy.
DPMS Portfolio Commentary November
As we are expecting the remainder of 2022 to remain volatile with further interest rate hikes and the effects of a recession, the Vizion Wealth Investment Committee have agreed to remain maintain a more defensive style to portfolios, further reduce exposure to Small-Cap Equities, balance our Chinese & Indian Equity exposure and start to increase positioning towards traditional fixed interest given the recent sell off of bond capital values.