Each month we will produce some comments about a topical subject that could affect your financial situation. If you would like to discuss any issues that we have covered please contact us.
Feb/12 - Simple Solutions view of the markets in 2012
Some sections of the press would have you believe that we are doomed. During the volatile periods during the second half of 2011 you would see regular headlines about the billions that were wiped off the value of the stock market when the FTSE 100 dropped by 100+ in a day. When, several days later the FTSE jumped by the same 100+ there was no headline stating that billions had been added.
Jan/12 - What is this RDR thing you keep reading about?
The Retail Distribution Review was conducted to look at how consumers can be protected in relation to the financial advice that they receive.
It is implemented on 1st January 2013 so we are getting close to the date where all advisers have to be “RDR ready”.
Dec/11 - Controlling your emotions helps you to make sensible decisions
Controlling your emotions helps you to make sensible decisions. Investors want to make money, and they don’t like to lose money. It is well known that you feel the pain of a loss by 2.5 times the feeling of joy that you get when you make a gain.
Why then does greed drive investment decisions?
Nov/11 - Why are annuities so low?
This is a question I am often asked, clients are aware that annuity rates are very low but even they are surprised when I have to tell them that their pension fund of £100,000 will only guarantee them a pension of around £5200 pa if they retire today at age 60.
Oct/11 - Junior ISA’s will be introduced as from 1st November 2011
Junior ISA’s are long term, tax-free savings accounts for children up to the age of 18 who live in the UK. The money saved can’t be taken out until the child is 18. Your child can’t have a Junior ISA if they already have a Child Trust Fund account.
There are two types of Junior ISA:
- A cash Junior ISA
- A stocks and shares Junior ISA
Sep/11 - Tuition fees
It is becoming clear that the standard rate will be £9000 pa. Initially it was thought that this level of fees would only apply for the “elite” universities.
These fees will be funded by student loans and recovered through taxes once a graduate’s income reaches a minimum threshold. Initial indications are that the threshold will be around £21,000 pa and that the rate will be at 9% pa on earnings above this threshold.
Interest will also accrue on the outstanding loan.
Aug/11 - SPECIAL HOT TOPIC: Volatility in the world’s stock markets
There is only one subject that I can write about at the moment and that is the volatility that we are experiencing in the world’s stock markets.
There seems to be a plethora of reasons why we are experiencing these massive swings:
It started with the political debate in the USA when the Democrats and Republicans argued about how to deal with the budget issues that threatened to prevent the Government from fulfilling its obligations. This debate was taken to the brink before a half hearted solution was reached.
Jul/11 - Current opinion on the economy
Listen to an expert view of what is going on in the financial markets including the commentators views on the reasons why we are experiencing the volatility that is happening in the markets at the moment.
Click here to watch (opens in a new window)
Their comments are very sensible and should help to give you confidence that what Simple Solutions do when they invest your money in terms of asset allocation and fund selection is the right approach for the medium to long term
Jun/11 - Current market commentary – Don’s view
Over the last 6 months the financial markets have been fairly flat. A phrase has been in use ; ‘soft patch activity’. This refers to the global slowdown, mainly because sales have been weak. If I were a betting man I would anticipate this to end at the beginning of the autumn, and then a recovery to start to take shape. This will possibly happen due to oil prices starting to stabilise and inflation starting to fall back a little.
May/11 - Pensions and Divorce
The following is an extract from article from the Pensions Advisory Service website www.pensionsadvisoryservice.org.uk
It is a very informative article that will help you understand your options if you are going through a divorce and you and your ex-spouse are looking at dividing up your assets.
Apr/11 - Who needs an Independent Financial Adviser?
Historically, only those regarded as wealthy used a financial adviser, everyone else saved a little for a rainy day, maybe in the bank, possibly with the man from the Pru who called at the house on a Saturday morning and if they were lucky they had a workplace pension. That was probably the extent of their financial plans to make sure they enjoyed a happy retirement.
Mar/11 - Are you and your family protected? Probably not...
Protection insurance is an essential part of your financial planning.
Before you start reading, take a few minutes to answer some questions about your current lifestyle. They are very thought provoking questions, most people will realise that there is at least one area where they are vulnerable.