Those who remember the rampant inflation of the 1970s and 1980s may be over-concerned about its return and the insidious effect it has on our wealth. But history offers some comfort too.
After a rocky start markets have since settled, but possibly not for long. Our chief investment officer, Julian Chillingworth, looks ahead.
Today a huge wealth of information, including some of our most personal material, finds its way to the “cloud”. In the era of hackers and cyber-warfare, is the shift to remote data storage wise?
Inflation fears roiled markets in early February after a record stretch of stock market calm. Our chief investment officer, Julian Chillingworth, looks ahead.
This has been one of the most begrudged share market rallies in modern times. Our chief investment officer, Julian Chillingworth, explains why political deadlock may help it continue.
Only a brave investment manager would have told clients at the start of 2017 that the year would produce close to the best annual returns for global equites since 2009.
The Bank of England (BoE) raised rates in early November from 0.25% to 0.5%. A decent boost from the services sector helped third-quarter GDP grow by a faster than expected 0.4%, a solid enough justification for the hike. The BoE was likely feeling pressured to act on inflation which is biting consumers hard – the CBI retail sales flash survey crashed in October – but by doing so it runs the risk of increasing borrowing costs and dampening demand.
“The Bank of England has increased policy rates to 0.5%, a decision that was 90% priced in to the interest rates futures market and should come as no surprise. Investors in the FTSE 100 should remember that company earnings are more responsive to changes in global financial conditions and the sterling exchange than UK base rates per se. Global financial conditions are still easier now than they were a year ago, and the exchange rate is still much weaker.
British investors may get a shock when they look at their returns this month. For those investing in sterling, overseas stock market performances were downright dismal.