We are under house arrest. We are all now Prisoners of the Pandemic, Inaction Heroes, told to stay at home. Prisoners entering jail for the first time are told to “know a bit of slang”, “share a cell with the right person” and “brace yourself for re-entry”.
View of the Day
As expected, the US Senate reached agreement between the parties for a $2 trillion (£1.6 trillion) fiscal stimulus package on Tuesday, which gave the markets a big boost.
With the global economy in the middle of a crisis following the rapid spread of coronavirus, Quilter Investors has produced a guide for investors based on seven principles.
“It’s natural at these times for some investors to get twitchy, which only serves to make the situation even less predictable,” says Danny Knight, head of investment directors at Quilter Investors.
Spring is often a good time to take stock of your finances, and with the tax year-end approaching, there are some simple steps you can take before 5 April to ensure that your affairs are structured in the most efficient way.
With 19% of people who filed a tax return in 2017-18 thinking they may have lost out financially owing to an error, there is a certainly an incentive to get things right.
The peak of the US stock market was as recent as 19 February. The average time to enter a bear market is 136 days. This time, it took little more than 20 trading days. For investors, the speed of decline is particularly disorientating.
The most recent Chinese economic data highlights the impact of the coronavirus in Hubei province, the epicentre of the outbreak in China. Economists had projected that industrial output in February would contract by 3% year-on-year. It fell by 13.5%. It was suggested that retail sales would fall by 4% year-on-year. They fell by 20.5%.
This week, the Western world changed dramatically. The US, Germany, France, the UK and many other advanced economies, saw the imposition of new strict controls or tough guidance to reduce people’s contact with each other.
BBC chat show host Michael Parkinson has conducted some unforgettable interviews. Among the most memorable guests were Scottish comedian Billy Connolly, and songwriter Sting. Parky asked both of them when they first thought they were going to be rich.
What is a ‘real asset’?
The best way to think of real assets is that they are physical or tangible investments that have an intrinsic value to society. Examples include infrastructure, such as schools, roads and hospitals, student accommodation, warehousing, wind and solar farms, and commodities such as oil and gas.
From 6 April 2020, there will be significant changes to the payment of capital gains tax (CGT) and the reporting of residential property sales to HM Revenue & Customs. These changes were first announced in the 2019 Budget and it is important that sellers understand the implications.