Tom Bailey

The biggest fear for stock markets heats up

President Donald Trump has threatened to hit China with a further $200 billion worth of tariffs, raising fears over a full blow trade war.

Trump issued a statement late on Monday (18 June) saying that US officials were in the process of finding another $200 billion of Chinese imports to hit with a 10 per cent tariff if China does not backdown from retaliating against previously announced US tariffs.

UK economy growth forecast slashed, making rate rise less likely in August

The UK’s economy will grow by 1.3 per cent in 2018, according to the British Chamber of Commerce’s latest forecast.

The organisation’s forecast in their second quarter review was a downgrade from the previous their previous forecast of 1.4 per cent. Expected growth in 2019 was also cut from 1.5 per cent to 1.4 per cent.

Equitable Life shuts down – what should policyholders do?

Pension company Equitable Life is set to shut down, 18 years after it almost collapsed.

So long as members agree to the move in a vote scheduled for 2019, the insurer will transfer all policies to Reliance Life and its with profits fund will be closed for good.  

Why Tesco shares are a good buy

Investors on the lookout for bargains may wish to consider adding Tesco to their portfolios, according to Alastair McKinnon, manager of Scottish Investment Trust.

This morning (15 June) Tesco announced a 10th consecutive quarter of improved sales. Sales grew 1.8 per cent in the first quarter of 2018, compared to 1 per cent in same period last year, despite snow in Spring.

The big tech backlash – time for investors to cash out?

It’s no secret that the past few years of spectacular performance from the US market has been led by the large technology companies. Over just the past five years (to 9 May 2018), the S&P 500 index, as measured by the SPDR S&P 500 ETF, returned a healthy 63 per cent. But compared with FANG (Facebook, Amazon, Netflix and Google) shares over the same period, the index returns were less than impressive. Google returned 139 per cent, Facebook 562 per cent, Amazon 500 per cent and Netflix 929 per cent.

Property fund sector to receive shake-up

The Investment Association (IA) has announced plans to split its Property category into two new sectors from the start of September.

Following a review it was decided that sector should be spun off into two new categories: UK Direct Property and Property Other.

Global fund managers flock to US equities, tip S&P 500 to reach 3000

After over a year being underweight US equities investors are flocking back, according to Bank of America Merrill Lynch’s June Global Fund Managers Survey.

This suggests fears over US market being overvalued and on the edge of a downturn have eased.

‘Investors have their eyes on the US this month,’ said Michael Hartnett, chief investment strategist. He adds: 'With a record high favourable outlook for profits and a return to US equity allocation.’  

Fidelity China Special Situations introduces benchmark-linked charges

Fidelity China Special Situations has announced an overhaul to its fee structure. From the start of next month investors will no longer be charged a performance fee, while the annual charge will vary under a new ‘variable management fee.’

According to Fidelity, the new charging structure will reduce the headline fee from 1 per cent of assets to 0.9 per cent.