Investors warn of weaker profits on S&P 500 – and low wages in the States could cause civil unrest too April 19, 2016 Investors are warning over the future path of the S&P 500 as a combination of low wages and the strong dollar place a question mark over corporate profitability. US wages are at a record low in relation to the country’s GDP – and this accounts for corporate profits being so high. But it’s a worrying sign, [...]
Four tips for investment success April 19, 2016 There are many ways up a mountain, as the saying goes. Becoming a successful investor can feel like climbing Everest, but here are some tips from the experts. ONLY BUY GOOD COMPANIES That may sound obvious, but actually a lot of investors do the opposite. They invest in down and out companies on the hope of [...]
Investment Association to shake up UK Equity Income sector after too many funds given the boot yield requirements April 18, 2016 The Investment Association (IA) is to reconsider one of the more problematic requirements of its UK Equity Income sector after too many funds were found to be failing to meet the mark. The IA is running a consultation into its yield rules, which currently require funds to achieve an average yield of no less than 10 per cent above the FTSE [...]
Strong start to the year for dividends won’t last, warns Capita as total payouts are set to fall for the first time since 2010 April 18, 2016 This year is set to be the worst for dividends in six years despite growth of 6.4 per cent in the first quarter year-on-year, the latest dividend monitor from Capita Asset Services has found. The total paid out to investors reached £14.2bn in the first quarter, though it will be offset over coming months by £2.7bn of [...]
Week ahead: Economic data and miners set to drive FTSE April 18, 2016 Investors will be wading through economic data this week, with the March unemployment report out on Wednesday and the latest retail sales and public finance figures due Thursday. On Friday the FTSE 100 index was down 21.35 points, or 0.3 per cent, at 6,343.75 points by the close, broadly in line with the European market. [...]
BlackRock’s profit has slumped by 20 per cent after struggling to deal with high levels of volatility in global markets April 14, 2016 US based BlackRock, the world's largest asset manager, failed to weather the global financial storm at the start of this year. The wild market swings, which saw the total value of the Chinese markets reduced by 50 per cent and the price of a barrel of crude oil sink to lows of $27 per barrel, knocked [...]
“Closet indexer” fund managers help drive exchange-traded fund market to record levels in Europe as assets invested globally top $3 trillion April 12, 2016 Assets invested in exchange-traded funds and products listed in Europe reached record levels at the end of the first quarter in 2016. Preliminary figures from ETFGI shows $522bn (£366bn) was invested in the funds at the end of March. The market also saw its 18th consecutive month of net inflows, totalling $5.11bn. The data also showed [...]
City watchdog reminds firms managing funds to watch their language in customer communications April 7, 2016 Firms managing funds must be careful to make sure their product descriptions are clear and free of jargon, the results of a review published today show. The review by the Financial Conduct Authority (FCA) found that, while the majority of the firms it studied in its sample were investing in line with the strategy they [...]
Recently launched Research Tree raises £450,000 in second funding round from investors including Liberum April 6, 2016 A recently launched investment research firm has today unveiled plans for expansion after raising £450,000 in a second funding round – and is hoping to attract more private investors to use the service. Research Tree, which was established by former equity research analyst Rob Mundy, began operations last month. The company provides investment research from 20 different [...]
Cummings leaves TheCityUK for Investment Association top job April 5, 2016 The Investment Association (IA), which represents managers who handle upwards of £5.5 trillion, has recruited TheCityUK boss Chris Cummings as its new chief executive, following a six month search. Cummings will fill the void left by the departure of former IA chief Daniel Godfrey, who stepped down after a row with the groups members. “I [...]