Innovative Finance Isa: A guide to the new product and what it means for investors February 18, 2016 In less than two months, the Innovative Finance Isa will be launched, enabling savers to hold peer-to-peer (P2P) loans within the tax efficient wrapper. Hailed as the moment the P2P industry will chassé into the mainstream, research suggests it’ll also be popular with savers. According to research by P2P lending platform ThinCats, one in four [...]
Online alternative finance doubles in 2015 to £3.2bn as institutions buy into the idea February 17, 2016 The online alternative finance market almost doubled in 2015 to £3.2bn according to a report from the Cambridge Centre for Alternative Finance and innovation foundation Nesta. The market's 84 per cent growth slowed from the year before however when it increased a whopping 161 per cent. “Although the absolute year-on-year growth rate is slowing down,” the report [...]
Four mistakes newbie investors make – from following fads to gambling away your savings February 16, 2016 FOLLOWING FADS There are lots of esoteric areas of investment which sound fascinating and it’s easy to believe you have stumbled upon the next big thing – especially if performance has been good lately. I regularly hear from people with little saved who’ve invested in areas such as corn or liquid natural gas. Those niche [...]
UK pensions: Only three per cent of employers have helped staff understand changes to the lifetime and annual allowance for pension contributions, which are due to come in this April February 16, 2016 Some big changes are on the horizon for pensions, but just a handful of businesses are taking action to help their employees understand them, according to a new survey. Research released today by Close Brothers Asset Management has discovered that only three per cent of employers are offering specific support to staff members who are likely [...]
Millions will pay less when tax changes, including the personal savings allowance, come into force, but constantly changing rules are making investment decisions hard for consumers February 16, 2016 Ceaseless changes to the way investments are taxed are creating headaches for savers, even when they stand to benefit, a report out today argues. The research from the Institute for Fiscal Studies (IFS) contends that incoming changes, such as the personal savings allowance, are creating vast differences in the way different investment vehicles are treated [...]
Leap year proposals: Ladies planning to pop the question this 29 February could be counting their luck with extra tax savings February 15, 2016 Call us old romantics but we here at City A.M. love a good wedding story – the beautiful frocks, the first dance as a married couple, all those wonderful tax breaks the newlyweds can take advantage of… The tax experts at the Institute of Chartered Accountants in England and Wales (ICAEW) are clearly in agreement, as [...]
Sportswear brand Skins launches £2m crowdfunding campaign on Seedrs February 15, 2016 A company that makes tight-fitting sportswear aimed at boosting athletes' performance is seeking to raise £2m using crowdfunding site Seedrs. Founded in Australia in 1996, Skins has become popular with runners and professional athletes thanks to its compression tights aimed at boosting the circulation and speeding up recovery. The Swiss-based company, which is majority owned by its chairman Jaimie Fuller, currently sells in 43 countries worldwide and [...]
Chancellor George Osborne should remember that making savings is the only feasible option to balance the nation’s books February 15, 2016 Whether or not George Osborne’s fiscal rules make sense, he’s stuck with them. His credibility hinges on whether or not the deficit is eliminated by 2019-20 and surpluses are recorded in “normal” times thereafter. At the last Autumn Statement doubts were cast over the “£27bn windfall” the Office for Budget Responsibility (OBR) had forecast the chancellor [...]
Multi-asset: Boosting risk-adjusted returns February 15, 2016 As the huge swings in share prices over the year so far have shown, markets have become increasingly unpredictable. This has exposed investors to significant volatility, and the minimal (and sometimes negative) returns offered by “risk-free” assets like developed country government bonds have been no more reassuring. Many financial institutions, like insurers, are now sitting [...]
Pension changes mean it’s time to talk to your boss: Drop in the annual allowance will catch City workers out February 15, 2016 TIME is running out for higher earners to re-negotiate their pension packages before planned new changes to the tax system kick in this April. The amount people can save tax-free in a pension each year will drop, with special rules coming in for anyone earning over £150,000. Experts are advising city workers to check their [...]