Cherry Reynard

Why VCTs are retaining their pulling power

It has been a gloomy time for investors in smaller UK companies. Investors concerned that they are too vulnerable to the volatile UK economy in the wake of Brexit have shied away.

In this context, the popularity of venture capital trusts (VCTs), which have raised record amounts, is an anomaly. Figures from the Association of Investment Companies show that investors committed £731 million to the sector during the 2018/19 tax year, up from £728 million in the previous year and an impressive 70% higher than the £429 million invested five years ago.

AIC sector shake-up: the perks and pitfalls for investment trust investors

The investment trust sector has seen a sea change in recent years. Once a sideline, alternatives have entered the mainstream with new launches focusing on areas such as debt, infrastructure and unlisted equities.

Even within equity strategies, fund managers have sought to use the full powers of investment trusts to venture increasingly into smaller, less liquid areas. As a result of all this, the Association of Investment Companies (AIC) has re-jigged its sector classifications with the aim of better reflecting the modernised investment trust universe.

What’s your Isa investor fund personality?

Know thyself: the Greek aphorism is not just handy in life, but also when investing.

No one who lies awake at night fretting about their savings should be in an artificial intelligence fund, while someone with 40 years to invest doesn’t need the constraints of a boring defensive fund. With that in mind, we consider a smorgasbord of options for a variety of different investor types and situations.

Why investors should look beyond the FTSE 100 index

In the immediate aftermath of the 2016 referendum, investors would have baulked at the idea of a hard Brexit; three long years later, gasping for any resolution to the tortured political process, they welcomed the certainty provided by an emphatic victory for Boris Johnson’s Conservative Party. The gloom finally started to lift for UK shares.

Gold investing: is it too late to join the party?

Over the past few decades, investors have operated with a background of certain assumptions: that governments would put the interests of the economy first, that capitalism was assured and that globalisation was inevitable. Increasingly, those assumptions are being undermined – and as they have evaporated, so has the idea of what constitutes a “safe” asset.

‘Digital gold’ bullion product set to shake up gold market

Why active funds are the way to play a return to form for emerging markets

The fractious relationship between China and the US has been a major headwind for emerging markets over the past 12 months. Emerging markets are generally the beneficiary of free-flowing global trade, and ‘deglobalisation’ has dented sentiment towards the asset class as a whole. However, scratching beneath the surface, there have been pockets of strong performance – and some active managers have made hay.

How two professional investors find investment trust bargains

Funds of investment trusts occupy an unusual place in the investment universe: it is usually relatively sophisticated investors (such as readers of Money Observer) who appreciate the charms of investment trusts, but those same investors are often active investors, in a position to select investment trusts themselves. Therefore, the fund of investment trusts must offer a little more.

Investment trust bargain hunter

The most important thing to look at to find a winning share

Cash matters. Anyone with a small business, or simply an unreliable friend, recognises that cash in the bank is worth more than cash owed or cash promised. Cash in the bank can be spent, invested or kept for a rainy day. For this reason, many fund managers place great emphasis on cash flow in guiding them to strong and enduring companies.

Six tips to find an active fund you can trust

In recent years, there has been an increasing focus on whether it is worth paying active fund fees. The alternative is simply to invest via index funds, which are cheaper, but come without the lure of potentially higher returns.