Unlocking the New pension landscape

Are you ready for the responsibilities of being in complete control over all of your money?

On 6 April this year, ‘pensions freedom day’, the pension landscape changed forever. From this date for the first time ever, individuals were given complete control over all the money in their ‘defined contribution’ retirement savings plans, whether large or small. Continue reading “Unlocking the New pension landscape”

How long will your pension income last?

Why people are applying a rule of thumb when it comes to their retirement

According to new research conducted by YouGov and Old Mutual Wealth, nearly half (48%) of those approaching retirement (aged 55-64) do not know how long their pension income will last. With pension providers reporting demand for flexible withdrawals, there is a significant danger that pension funds could run dry if people do not plan carefully or take professional financial advice. Continue reading “How long will your pension income last?”

Emerging market attractions creep back up

Living with several pending risk events, liquidity and risk appetite go with the territory

The fundamental environment in emerging markets remains stable. As the market has grown accustomed to living with several pending risk events, liquidity and risk appetite have been creeping back up. Buyers of emerging market mutual funds have been returning to the asset class after the commencement of the ECB’s version of QE. Continue reading “Emerging market attractions creep back up”

Dividend heroes

Companies which have increased their dividends each year for at least 20 years

Interest rates recently marked a sixth year at a record low of 0.5%. Therefore, it is noteworthy that research from the Association of Investment Companies (AIC) shows that a fifth (21%) of AIC member investment companies which have been in existence for more than 10 years have raised their dividends for at least 10 years in a row. Continue reading “Dividend heroes”

Hunting for income

What gives specialist sectors an advantage?

The hunt for income has shown no sign of slowing. Alternative assets in areas such as infrastructure, debt and property can offer a high level of income, and, being illiquid assets, they are particularly suited to being held in a closed-ended fund. Indeed, of the 49 investment companies yielding over 5%, 32 (65%) are from specialist sectors[1]. What gives these specialist sectors an advantage when it comes to yield? Why would investors consider these specialist sectors as part of their income portfolio? Continue reading “Hunting for income”