DIY Investor Magazine
| Oct 2017
4
THE WORLD IS YOUR LOBSTER, MY SON!
As we draw stumps on the production
of the latest edition of
DIY Investor
Magazine
we bring you the breaking
news that nothing much appears to be
broken
To illustrate our point we had a word with some of our
most influential friends to ensure that the FTSE 100
closed at a record high of 7,556 on Friday and remains
above 7,500.
Inflation has nudged up in response to the weakness of
the pound, but does not appear rampant and the MPC
decision on interest rates could be finely balanced;
‘Spreadsheet’ Phil’s promise of a ‘big, powerful and
revolutionary budget’ should be interesting.
So, what of Project Fear? Where are the bankers jostling
each other in the queue for German lessons?
However well advised Theresa May would have been
to have sucked a Fisherman’s Friend before taking
the stage in Manchester, she remains in post and
determined to ‘deliver on the will of the people’.
Whilst most of our contributors to this issue
acknowledge that the precise nature of Brexit could
have an impact, we are in uncharted territory, and one
opinion appears as valid as the next.
Are we living through is a ‘new normal’ – a recent study
for
Investec Click & Invest
identified the ‘Resetters’ –
people taking control of their lives, turning hobbies into
jobs and aiming for financial freedom; this dovetails with
an article by
Easy As 123
which says that ‘employment’
will never be the same again as the ‘gig economy’
encourages people towards financial self-reliance.
DAN Norman
acknowledges that markets are high,
but sees little immediate cause for panic, and we have
some tips from Vanguard legend
‘Jack’ Bogle
for
millennials setting off on their journey toward
FIRE
– an
oft-used acronym in the States describing the quest
towards Financial Independence/Retire Early.
If this chap Cliff Edge does lead to a sharp fall in
markets, is that the time for active fund managers to
reassert themselves? Passives such as ETFs and index
trackers have grabbed more than their fair share of the
headlines of late as investors have enjoyed the benefits
of generally rising markets and ultra low costs; however,
if things turn turtle, trackers follow the direction of travel
– low fees may not be consolation enough.
Now, we all know that investing should be for the long
term and that markets are cyclical, but no one wants to
see masses of red figures in their portfolio; and what
about if it really is different this time? In this issue we
have articles from a number of fund managers that
illustrate just how much endeavour goes into active fund
management and now that fees are generally coming
down, maybe it is time to reconsider either unit trusts or
investments trusts for your portfolio?
With domestic markets high, contrarian S
cottish
Investment Trust
has been to Brazil in search of
opportunities and
JP Morgan
has been seeking
income and growth in Europe;
Old Mutual
describes
the exciting opportunities that are to be found amongst
European smaller, ‘disruptive’ companies and
Janus
Henderson
asks if now is the time to consider
alternative assets in the quest for returns.
Should markets down turn, that manufacturing plant in
Guangzhau in your portfolio could be your salvation.
We have reached the half way point in the
Great British
Trade Off
and
Fagin
is thumping
Humbug
; more
than £22,000 up in just six months, he’s now offering
Humbug advice. Oh dear.
We hope that you find
DIY Investor Magazine
informative and we are pleased to hear from you at any
time –
As self-reliance replaces state support it is inevitable
that people will have to take more personal control of
their finances; whether a debt-laden graduate starting
out on life’s journey or a pensioner starved of income –
Do it Yourself, Do it For Me, Do it With Me – just don’t do
nothing!
