1. Why are we bothering?
• It puts me on the spot!
• These are ‘’interesting times’’
• This is what we do
• When did you last hear
from your existing adviser?
3. Last time we highlighted....
3 LONG TERM investment themes
• Continuing opportunities derived
from emerging markets
•UK stock market not expensive (but is it cheap?)
• Likelihood of higher inflation
4. Emerging consumer arrived already
Impact is global
• Biggest takeaway in China?
• Where did BMW increase
sales by 80%?
5. Emerging consumer arrived already
Impact is global
Last 10 years:
• US stock market + 27%
• UK stock market + 62%
• M&G Global Basics +249%
Nestle, Heinz, Unilever, Lonmin, Newmont,
Chevron, Colgate, Miracle Gro, Starbucks, KFC
6. Emerging consumer
The future?
• Not the beginning of trend...
• For example:
• Last year, more cars sold in China than US
• 700 cars per 1000 people in US
• 10 cars per 1000 people in China
•THINK ABOUT IT...
7. How markets make progress
• Upward trend in a broad band
• You could just be unlucky!
9. Why Greece matters
• Assume orderly default
• But ongoing concerns
• Will Eurozone survive intact?
• Debt is global problem
• US/UK/EU on verge of new recession
10. THE WAY WE WERE
Bulk of population:
• Peak earnings
• Peak consuming power
• Peak taxpayers
Interest rates falling
Easy debt
Growing confidence all round
Growing government confidence
• That was 1980-2005
11. THE WAY IT IS, AND THE WAY IT WILL BE
Growing proportion of population:
• Past peak earnings
• Past peak consuming power
• Paying less tax
Interest rates?
No one wants debt
Falling confidence
Growing government indecision, promises withdrawn
THAT IS 2005-2030
12. Investments that work now
• Fidelity Moneybuilder Income + 3.7%
•M&G Corporate Bond +5.4%
• Insight Absolute Insight -0.6%
• Standard Life GARS +0.1%
• FTSE 100 -10%
Performance figures are for the last 6 months
14. Timing – Tough problem, straightforward answer
• Opportunities, such as emerging markets
• Also income, 5%+, with income and capital growth
• Drip-feed through Wealth Management Platform
• Automatically, every month, 12 or 24 months
15. You need a plan
• Bad planning
• Poor investments
• Your objective
• Your attitude to risk
• Best possible funds
• Continually monitored
We have heard from Tony about some of the background investment issues, particularly the trends which are likely to persist (both good and bad), and also considered value/historic trends (?)Now I want to look at how all of this can be taken into account by you, within your plans and portfolios.
We have heard from Tony about some of the background investment issues, particularly the trends which are likely to persist (both good and bad), and also considered value/historic trends (?)Now I want to look at how all of this can be taken into account by you, within your plans and portfolios.
We have heard from Tony about some of the background investment issues, particularly the trends which are likely to persist (both good and bad), and also considered value/historic trends (?)Now I want to look at how all of this can be taken into account by you, within your plans and portfolios.
We have heard from Tony about some of the background investment issues, particularly the trends which are likely to persist (both good and bad), and also considered value/historic trends (?)Now I want to look at how all of this can be taken into account by you, within your plans and portfolios.
We have heard from Tony about some of the background investment issues, particularly the trends which are likely to persist (both good and bad), and also considered value/historic trends (?)Now I want to look at how all of this can be taken into account by you, within your plans and portfolios.
But in advising you we aren’t just concerned about inflation.Bad planning – a neat box file in alpha order is not a “plan”.No investment is good perpetually – so why do most investors seldom if ever hear from their advisers with a review? And many investments were not very good when recommended, or were simply inappropriate.And taxes are going up! Remember, the govt can control its mounting debts by allowing inflation to rise (we’re seeing that already), by cutting costs (the age of austerity, already upon us) and by raising taxes (already happening). In each case expect more of the same, and in the case of taxes I would be surprised if there wasn’t some way in which you can reduce your future tax bill – as David and Tony touched on earlier.Key is that we must change the things we can control – not fret about those we cannot – and there is a lot that you can control.
