It all started out so hopeful at the start of 2018. Despite concerns over Brexit and the prospect a Corbyn-led Labour government, the FTSE 100 was predicted to continue edging up, with predictions that the blue-chip index could finally break the 8,000 points barrier.
Whether during the seemingly unstoppable popularity of US tech in the summer of 2018 or during the sector’s heavy sell sell-off this autumn, Scottish Mortgage has managed to keep its position as the most popular investment trust among investors of interactive investor, Money Observer’s parent company.
Across the world, the average human lifespan is increasing. However, while this is clearly good news, there are some downsides to the trend: primarily, as people live longer, their healthcare costs increase. The pressure is already being felt by governments in Europe, where healthcare spending is soaring. A similar trend is starting to be felt in rapidly developing Asian countries.
As ETFs continue to play an ever-larger role in the portfolio of investors, the Investment Association (IA) has launched a consultation on their potential inclusion in fund sectors.
The IA’s 37 different fund sectors currently include both actively managed open- ended funds and index funds. Under the new proposal, 200 ETFs can apply for inclusion in the fund sectors until February 2019.
Leaving the European Union without a deal could cause the largest contraction since the Second World War for the UK’s economy, according to the latest warnings from the Bank of England.
In analysis produced for to the House of Commons Treasury Committee, the Bank outlined the potential economic impact of various ways the UK might leave the UK.
Despite the scare stories that the rise of passive investing imperils markets and capitalism, from an investor perspective exchange-traded funds and index trackers have done exactly what they promised. They have provided solid market returns with ultra-low fees.
Heavy selling has returned to the US market, seeing a relatively steep decline on Tuesday (20 November).
The Down Jones industrial closed -2.21% down on the day, while the S&P 500 ended the day down by -1.82%. This puts both indices in negative territory year-to-date, with the Dow down -1.44% and the S&P 500 down by -2%.
Companies around the world handed out a collective $354.2 billion in the third quarter of 2018, according to Janus Henderson’s Global Dividend Index.
That puts headline growth for global dividend payments at 5.1% compared to the same quarter last year.