The past year saw global stock markets reach record highs. But amid the positives has been a certain amount of trauma for investors to endure: the threat of a trade war between the US and China, tensions in the Middle East and Korea, economic issues in South America, not to mention Brexit uncertainty. Nonetheless, against a mixed backdrop, many of our award winners have put in strong performances, with just three of the cohort of 39 in the red over the past year.
More than half of savers are seeing the value of their cash eroded by inflation because they are too scared to invest. Research from Scottish Friendly suggests savers are suffering from ‘investophobia’, avoiding putting their money in the stock market for fear of losing any.
Some 53 per cent of 2,000 savers surveyed say they would not consider investing in stocks and shares, with 49 per cent citing fear of potential losses as the main thing holding them back.
The JPM Morgan Japanese Smaller Companies trust is introducing a dividend for the first time in a bid to attract new investors.
The board has proposed a 4 per cent payout, which it hopes will help to narrow the trust’s persistent discount – currently 10 per cent. The trust has previously tried to tackle its discount with share buybacks.
Fidelity Special Values investment trust is moving to a tiered pricing structure. The £717 million investment trust, which is run by contrarian manager Alex Wright, will adopt a new pricing strategy from 1 September.
Currently investors in the trust pay an annual fee of 0.875 per cent. Under the new structure the annual charge will fall to 0.85 per cent on the first £700 million of assets under management. Assets over this amount will be charged at 0.75 per cent.
Some 19 complaints about a single pensions provider were made in just one month, it has been revealed.
The Financial Services Compensation Scheme received 19 complaints about Lifetime Sipp in May alone, bringing the total number of complaints made about the firm to 70, according to trade website Money Marketing.
It comes as the number of complaints about self-invested personal pensions is soaring.
FCA proposes new financial services directory for consumers
By Holly Black
The financial watchdog wants to make it easier for investors to check that the firms they deal with are genuine.
The Financial Conduct Authority has suggested creating a new directory to help consumers check that companies and individuals working in financial services are legitimate.
Research by investment giant Schroders reveals UK retirees are having to invest more than expected to generate a decent income, while the cost of living in retirement is also higher than they had anticipated.
Schroders surveyed 22,000 people across the globe, including 1,000 in the UK, to understand how well they are preparing for retirement.
Even long-term investors occasionally take advantage of a short-term opportunity in the stock market. Mike Deverell at Equilibrium, manager of our long-term growth portfolio, sprang into action in February when the FTSE 100 index slipped.
Our regular income portfolio of investment trusts has posted total returns of 9 per cent since inception last April, despite a ‘hairy start to the year’ which has seen nine holdings in negative territory since our last update. James Brumwell, who is managing the portfolio, has been tinkering to take advantage of capital gains allowances before the end of the tax year.