Tom Bailey

Inflation remains low despite strong wage growth

The UK economy continues to undershoot its inflation target despite record low unemployment.

Consumer Price Index (CPI) inflation remained at 1.9%, the third month it had been below it’s the Bank of England’s 2% target rates according to the latest figures from the Office of National Statistics (ONS).

Where to find ‘consistent’ funds that outperform

Investors spend a lot of time comparing the returns of their fund to the potential returns of other investment. The gap between the two is the so-called opportunity cost.

This often takes the form of comparing an active fund against a general index. This allows an investor to work out if it is worth paying a premium for the active manager.   

Buy, Hold, Sell: JPMorgan Claverhouse names its three picks

JPMorgan Claverhouse, in the UK equity income sector, has managed to increase its dividend for 46 years in a row. That is one of the longest periods on record for a pure UK equity trust, says the trust’s co-manager, Callum Abbot. It would be wrong, however, to think of Claverhouse as purely an income-focused trust. “We look for cheapness, quality and price momentum,” says Abbot.

Brexit-weary London drags down UK house price growth

Annual house price growth in the first quarter of 2019 stood at just 0.4%, according to the latest house price index figures from Nationwide – way below the annual growth rate of 2.5% seen at the same point in 2018.

Behind the headline figure were sharp regional differences. Growth was dragged down most by figures for London and the South East. Iain McKenzie, chief executive at the Guild of Property Professionals, says: “Regional influences are extremely significant here.”

Uber IPO: should you invest?

Last month, Uber, the ride-hailing app, filed for public listing. After rumours of a valuation totalling $120 billion, Uber has settled on a slightly lower number: $100 billion.

Uber will list its shares on the New York Stock Exchange today (Friday 10 May).

Why investors should not fixate on falling passive fund fees

Academic finance is now dominated by the ‘efficient market’ hypothesis. Try as they might, the theory goes, active fund managers almost never outperform the market over the long term. Investors, therefore, have no hope of beating the markets, so they are better off sticking their cash in either index trackers or exchange traded funds (ETFs). Acceptance of this theory has played no small part in an explosion in the popularity of passive investing over the past decade.

The UK equity funds that offer protection against Brexit

The UK stock market has a heavy international bias, with many companies listed in the country having little or no exposure to the UK economy in terms of revenue are listed on the London Stock Exchange. Of all companies listed on the FTSE 100, for example, over 70% of revenue is derived from abroad.

The best route to profit from rapid growth unlisted companies offer

Companies list on stockmarkets in order to raise capital. Historically, businesses starting to see growth would sell shares in the company via an initial public offering (IPO), using that windfall of capital to fund the expenditure needed for their expansion. In recent years, however, firms have been shying away from listings, with many companies choosing to stay unlisted for longer or not bothering to go public at all.