IS THE MONEY MOVING?.
IS MONEY ON THE MOVE?
The title question is posed as those that study the financial gurus will have observed that they are indicating resurgence in the bond market which has been unattractive for some time.
Two weeks ago I had a meeting with my financial adviser which resulted in the revision of our portfolio requirement from –maximise income with capital growth to match inflation, to a more capital growth configuration, which meant discarding funds that produced 72% of annual investment income in favour of better growth oriented investments.
This decision is based on the assumption that Labour will win the next election, judging by the by-election results (not known at the time) seems even more likely, therefore with Labour historical ability to always screw up the economy, protective action is necessary.
It would appear that Stammer’s current approach of promising people what they want rather than what they can afford, is already causing the markets to close ranks and when, rather than if, they do then his promises will be even more hollow. Without the markets’ support he can’t govern, Liz Truss proved that.
One has to recognize that in taking investment action of this kind there are risks, however on balance it is fairly certain that if it is wrong the losses will only be an odd thousand or two whereas if it is right it will almost certainly stop 10’s of £1000’s being wiped off our savings.
Finally, this post is not intended to be considered as financial advice, but it might prove helpful in provoking some thought, and is backed up by the fact that I have put our money where my mouth is.
The title question is posed as those that study the financial gurus will have observed that they are indicating resurgence in the bond market which has been unattractive for some time.
Two weeks ago I had a meeting with my financial adviser which resulted in the revision of our portfolio requirement from –maximise income with capital growth to match inflation, to a more capital growth configuration, which meant discarding funds that produced 72% of annual investment income in favour of better growth oriented investments.
This decision is based on the assumption that Labour will win the next election, judging by the by-election results (not known at the time) seems even more likely, therefore with Labour historical ability to always screw up the economy, protective action is necessary.
It would appear that Stammer’s current approach of promising people what they want rather than what they can afford, is already causing the markets to close ranks and when, rather than if, they do then his promises will be even more hollow. Without the markets’ support he can’t govern, Liz Truss proved that.
One has to recognize that in taking investment action of this kind there are risks, however on balance it is fairly certain that if it is wrong the losses will only be an odd thousand or two whereas if it is right it will almost certainly stop 10’s of £1000’s being wiped off our savings.
Finally, this post is not intended to be considered as financial advice, but it might prove helpful in provoking some thought, and is backed up by the fact that I have put our money where my mouth is.
