Last Week in the City: Trump signs order for tariffs March 9, 2018 This week US President Donald Trump signed off on new tariffs on steel and aluminium imports, Trinity Mirror revealed plans to rebrand, and the European Central Bank took a further step towards ending stimulus measures. The FTSE 100 rose 1.9 per cent over the week by mid-session on Friday. Economics China will pursue annual growth [...]
What ‘dividend cover’ says about the safety of stock market income March 8, 2018 The income paid by stock market companies to investors could be about to come under pressure. The twice yearly payments made to investors can be a vital income supplement for those in retirement. Others reinvest the dividends to boost long-term returns. But research compiled by Schroders shows European and US companies are diverting a [...]
An investment to hold when volatility strikes? March 7, 2018 Funds in the Targeted Absolute Return sector aim to produce positive returns in a variety of market conditions through using sophisticated investment techniques such as short selling (profiting when prices fall). They generally aim to make modest yet consistent gains with smoother performance than traditional funds; admirable objectives that resonate with many investors, but there [...]
Legal & General share price inches up as profits are boosted because the rise in life expectancy is slowing down March 7, 2018 Legal & General today unveiled better-than-expected profits for 2017, and said its dividend would increase by seven per cent. The figures Operating profit rose 32 per cent to £2.1bn from £1.56bn in 2016, while pre-tax profit also increased by 32 per cent to hit £2.1bn, compared with £1.58bn in the previous year. Earnings per share [...]
Big fish: The seven largest types of institutional investors March 7, 2018 Say whatever you want about the world, but there’s never been a better time to be an end investor. Many things investment professionals fear — fee compression, automation, artificial intelligence (AI), and blockchain — benefit clients through higher account balances and lower fees. Asset owners are the largest of those clients. Though they are frequently [...]
Investors ignore disruptive weather at their peril March 5, 2018 The "Beast from the East" closed schools, kept trains in their sidings and hit Britain's productivity. But can inclement weather move the stock market by affecting investors' minds? Findings of a research project published in the Journal of Accounting Research in 2015 concluded that financial analysts respond more slowly to the implications of earnings announcements [...]
Access Denied: The fight against cyber criminals March 5, 2018 Cyber-attacks defy borders and jurisdictions and are recognised as a Tier One threat to national security by the UK government. As the world becomes more connected, the attacks are becoming stronger, more frequent and more sophisticated. Nearly half of UK businesses identified at least one cyber security attack in 2016, according to UK government data, [...]
These are the stocks to long and hortin the aftermath of Italy’s general election, according to algos at Quant Insight March 4, 2018 Italy’s general election today could have profound consequences on European markets, and certain stocks will be winners or losers. Analytics firm Quant Insight, which counts a number of global asset managers and hedge funds on its books, uses powerful algorithms to track which stock could benefit from specified outcomes. Ladbrokes Coral, Capita, Royal Dutch Shell [...]
Equitable Life plans to offer millions to policyholders ahead of potential sale March 4, 2018 Equitable Life is set to offer policyholders millions as part of a plan to restructure and sell the 256-year old insurance group. The 300,000 policyholders could receive a windfall of several thousand pounds each under a plan to restructure and sell the group. A circular set to be sent to members is expected to spell [...]
Trouble in store for House of Fraser as credit insurer pulls cover March 4, 2018 A credit insurer has pulled cover on House of Fraser, underscoring the difficulties faced by the department store following a disappointing set of Christmas figures. A spokesperson for House of Fraser said 20 of the business' 650 suppliers were affected by the credit insurer's decision. Those suppliers will now have to find new insurance, or [...]