Interest rates

[Amarillo]

Trackers have on average outperformed managed funds after fees ever since they were introduced in the 1980s. But financial advisers will still try to give you all kinds of reasons why "managed funds still have their place..." yada yada. (Proving that it's almost impossible to get a man to understand something, when his salary depends on him not understanding it.)

But if everyone used trackers the system would implode, so managed funds are essential to give us something to track.

 

[willwander]

I’ve been almost 100% cash since December, doing nothing has been hard.

 

[sidepod]

For about 20 years, bonds were the standard hedge in a retail investor's portfolio because they tended to be negatively correlated against equites. However for widely debated reasons, that inverse relationship between bonds and shares started to go wonky more recently and indeed in the very long run (ie 50+ years) bonds have spent long periods positively correlated which makes them of limited use in de-risking a portfolio.

If you're not expecting to need to access your capital in the next few years a 100% equities portfolio (suitably diversified, of course, by which I mean a basket of trackers spanning several geographical markets) is IMO quite reasonable. Of course, you then have to be prepared to sit tight and never ever sell even when the market goes bonkers for several months and you're maybe looking at a 20%+ drawdown (eg 2007/8). But that's extremely hard for a lot of investors to stomach, and I'm guessing no high-street financial adviser will be prepared to recommend equities-only, so you'd have to be prepared to build your own portfolio using a platform like Hargreaves Lansdown.

Literally no idea what any of those words mean.

Just fitting some new gas struts to the bus tailgate. Got a lovely Belgian beer on the go

 

[willwander]

Literally no idea what any of those words mean.

Just fitting some new gas struts to the bus tailgate. Got a lovely Belgian beer on the go

 

[Californication69]

Literally no idea what any of those words mean.

Just fitting some new gas struts to the bus tailgate. Got a lovely Belgian beer on the go

Just had a blue moon in the mission ranch.
No Clint. Very sad

 

[soulstyledevon]

So Kwasi's gone.
Will thick Lizzy last the weekend...?

Never been a fan, but #BBB...

 

[The Tall Luthier]

So Kwasi's gone.
Will thick Lizzy last the weekend...?

Never been a fan, but #BBB...

It’s a bit like Keith sacking Orville or the Emu sacking Rod Hull.
However bad it looks in No 10 I suspect it’s a whole lot worse.

 

[soulstyledevon]

It’s a bit like Keith sacking Orville or the Emu sacking Rod Hull.
However bad it looks in No 10 I suspect it’s a whole lot worse.

My wife got home from work last night and said the talk at the office was, they would both be both gone by the weekend...

 

[66tim99]

My wife got home from work last night and said the talk at the office was, they would both be both gone by the weekend...

Will Liz Truss outlast a lettuce? LIVE!

 

[Californication69]

So Kwasi's gone.
Will thick Lizzy last the weekend...?

Never been a fan, but #BBB...

Please please please cut the VAT.
I keep praying lol

 

[willwander]

Worst PM ever? Ha, So many to choose from.

 

[The Tall Luthier]

2009 onwards has been a train wreck for UK plc. Truss is simply a consequence of terrible choices made by conservative voters for the last decade. Cameron-Weak, Brexit-Self Harming, May-Nasty, Johnson-Narcissistic, Truss-Simple

 

[soulstyledevon]

I think the Conservatives missed a couple opportunities with Hunt or Rory Steward. I liked both of those guys.

 

[subthree]

I think the Conservatives missed a couple opportunities with Hunt or Rory Steward. I liked both of those guys.

Hunt is only one place away from the top job now.

 

[The Tall Luthier]

Hunt is only one place away from the top job now.

Hunt, the minister that starved the NHS of funding and sold off all our PPE and pandemic preparedness in 2017.

Yes! Let’s have him!

There are no good tories left, most are complicit in the last twelve years of bad governance.

 

[subthree]

Hunt, the minister that starved the NHS of funding and sold off all our PPE and pandemic preparedness in 2017.

Yes! Let’s have him!

There are no good tories left, most are complicit in the last twelve years of bad governance.

I was not advocating that I am a fan of Hunt. He is too smug for my liking, much like Gove.

 

[NessL]

Hunt is only one place away from the top job now.

In reality, I think he is now in charge.

 

[Amarillo]

In reality, I think he is now in charge.

Yes - our system is more like the Germans now we have Chancellor Hunt in charge, and our Prime Minister relegated to the lettuce patch in the Downing Street garden.

 

[The Tall Luthier]

I was not advocating that I am a fan of Hunt. He is too smug for my liking, much like Gove.

Understood.
I wonder if Fabricant will be Mr November?!

 

[soulstyledevon]

Barclays just increased their 10 year fixed by 0.8%.
Had I been signing up today, my mortgage payments would’ve increased by another £700 a month. Within a month, rates have ballooned very quickly, it really is frightening times.
My outstanding balance is only £360k which isn’t much in this day an age.

I feel really sorry for millions of families up and down the country that will need to find the extra to cover their mortgages…

 

[andyinluton]

Barclays just increased their 10 year fixed by 0.8%.
Had I been signing up today, my mortgage payments would’ve increased by another £700 a month. Within a month, rates have ballooned very quickly, it really is frightening times.
My outstanding balance is only £360k which isn’t much in this day an age.

Time to get a new calculator?
£360k x 0.8% = £2,880.00 per year = £240.00/month?

 

[soulstyledevon]

Time to get a new calculator?
£360k x 0.8% = £2,880.00 per year = £240.00/month?

Sorry.
I meant from my current payments.

Moving from a 1.82% to 5.35%

 

[sidepod]

My outstanding balance is only £360k which isn’t much in this day an age.

I love your sense of proportion. I've never owned that much debt in my life. How on earth do you sleep?

 

[soulstyledevon]

I love your sense of proportion. I've never owned that much debt in my life. How on earth do you sleep?

£700k Equity in the property, there’s loads of scope to fall and still be in positive numbers. The way I see it, if my property had a fall into negative numbers. Paying the bills would be the least of my worries.
The civil unrest and trying to scavenge food might keep me awake a bit…

 

[soulstyledevon]

My sister is a first time buyer in Leeds.
Her and her hubby owe £225k for their first property. A mid-terrace dog hole in IMO, but everyone’s got to start somewhere…