The winners and losers

Last year according to citywire only 12% of US Equity funds beat the S and P 500 stock market index last year.

Many UK investors tend to hold a relatively small amount in US Equity funds.  In the past many investors might have been disappointed by the returns achieved, however the US has a reputation for going into and coming out of recession quicker than some other developed countries.

Even through the US have major Budget issues and the unstabilising effect of 2012

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First week back and like many people I’ve been catching up with paperwork and numerous spam emails that had dropped into my email box between Christmas and New Year.

I read and article yesterday and whilst watching the news late last night, I wondered why there is so most emphasis put on the FTSE 100. The FTSE 100 is the top 100 shares listed on the London Stock Exchange in term of capitalisation i.e. size
Here are a few facts about the FTSE 100.

The index is dominated by a number of big

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Is residential property a good investment?

Over the last ten years owners of residential property have benefitted from rental income above the returns available from deposit based investments.

In addition to good rental income levels, landlords have also enjoyed a substantial increase in the value of residential property generally.

According to the Nationwide house price index the average property price has increased by over 99% from the end of 2000 to the first quarter of 2010.

There are

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Planning for inflationary pressures and the effects on your assets

Rising inflation poses a risk to any investor. Cash and gilts are the most vulnerable asset classes when it comes to erosion from inflation: cash because the returns are generally quite low and gilts because they pay a fixed interest. In contrast, rental income and company earnings tend to rise in line with inflation. Equity income funds, which invest in companies, aim to pay and grow dividends above the rate of inflation.
If

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We have recently reviewed how ifa's recommend investment funds.

Following a number of months research we have launched a range of risk rated portfolios for our clients.

Our aim was to produce a low cost range of investment portfolios that can be used in a wide range of products such as pensions, isas, collective investments and lump sum investment bonds.

The ten portfolios are rated from low risk to high risk. Each portfolio is rebalanced each quarter to maintain the ideal investment split.

A

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A free copy of our esmart money publication is available to download.

This months publication covers

• Emerging Markets
• Corporate Bond Funds
• Self invested pension arrangements
• Investing for income
• Inheritance tax planning
• ISA's

Plus much, much more.

To obtain a copy of our free newsletter just add your email address to our blog update service .

For more information about the services we offer please visit our main site at www.consilium-ifa.co.uk

The FTSE 100 index finished the week at 4,731.56, up 41.03 points or 0.87% on the day and up 123.2 points (2.67%) over the week.

The index has risen from 4,434.20 since the start of 2009, a rise of 297.36 points or 6.71%. Over a year the FTSE 100 has fallen from 5,477.50 (745.94 points or -13.62%).

Exchange Rates- £1 is currently worth $1.669 US or €1.176 Euros.

The UK Bank Rate was maintained at 0.5% and Consumer Prices Index for inflation was 1.8% for the year to June 2009. This was

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ConsiliumAsset Management Investment Process

Our Investment Process is the most important part of any advice we give relating to pensions and investments. To view our video podcast please click the link.

We have launched our first video onto You tube.

Our investment process video shows the stages we go through when making an investment recommendation.

To view the video click Investment Advice

For more information about our services go to the Consilium Asset Management home page

Our article Banks and Financial Advice has been published. To read the article please go to http://www.squidoo.com/independentfinancialadvice

Hundreds of savers and investors could possibly lose millions of pounds as a result of the largest financial scam to hit the UK. It is believed that investors may have lost up to £80million in the Ponzi scheme that was run by Business consulting international.

Investigations by the FSA and the London Metropolitan Police now suspect the company was running a Ponzi scheme similar to other high profile cases in the US.

The term Ponzi scheme was named after one of Americas most well known con

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We have recently started to publish articles of interest and financial planning topics.

The first article is called "Why You Shouldn’t Believe the Man in the Pub!". The aim is to give a lighthearted view on investments taking into account the current economic climate, whilst trying to give an informative viewpoint. If you would like to read the article in full please click Why You Shouldn’t Believe the Man in the Pub!

Investors looking for growth, which includes individuals making plans for retirement can underestimate how important dividends can be. Many investors consider dividends as merely “the icing on the cake”, and they are often overlooked in the pursuit of capital growth.

Investors should pay close attention to dividends as they can add significant additional returns over and above the potential growth in the share price.

Over the long term the compounding effect on receiving dividends could

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One of the positive parts of the UK 2009 Budget was the increase in the Individual Savings Accounts allowances (isa's).

The limit has increased from £7200 to £10,200. Up to half of the allowance can be invested into cash isa's.

The new limit comes into effect from the 6th October for the over fifty's and for everyone else in the next tax year.

Although UK interest rates are at an all time low it is worth shopping around to see how is offering a good return.

Do not however always go for

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We have recently produced our Investment Process document. The aim of the document is to provide a framework for advising clients on their investments in the current turbulent times.

The Investment Process acts as a frame work, helping our clients to understand how we make investment recommendations.

The document is available on our website the address is http://www.consilium-ifa.co.uk/documents/investment_process.pdf

If you have any queries or wish to speak to us in more depth please feel free

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Limit any losses to take advantage of the upside

In this current economic downturn, it may be appropriate that you spread your portfolio over several different investments. This may help limit any losses, and conversely, if markets eventually rise, you may be able to take advantage of the upside. Make sure your investments are appropriate for your risk profile and if you have any concerns please contact us.

If your portfolio isn’t balanced, it may be appropriate to consider a

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Striking a balance between principles and making a profit

Many investors are looking for investment vehicles that invest in companies with a social, moral or environmentally responsible agenda.They also require that each fund has its own set of criteria and rules about the types of companies in which it will and won’t invest.

If you are considering this as an option for yourself, firstly you need to determine your attitude to risk. If you’re a low-risk investor, for example, you might

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The Bank of England’s Monetary Policy Committee today voted to reduce the official Bank Rate paid on commercial bank reserves by 0.5 percentage points to 0.5%.

In addition to the latest cut in interest rates they have also agreed to undertake a programme of asset purchases of £75 billion financed by the issuance of central bank reserves.

Whilst the latest cut will be good news for borrowers and businesses, it will not be good for savers.

Savers have been savaged by the severe cuts in

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Well, its official, the Bank of England announced that the UK is in a deep recession with the prospects of the economy contracting in size over the next twelve months.

The doom and gloom we all see on the TV each day is enough to make us reach for the happy pills, but there are things we can do personally to help combat the recession.

With any form of financial planning, it might help by going back to basics.

Analysing your income versus spending and producing a cash flow projection is a

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The recent dramatic cut in interest rates has left many savers out in the cold. However businesses seem to be getting a very raw deal from banks at the present time.

Not only are business owners finding it hard to get credit to help with cash flow, but they are also getting a miserly return on deposits held with the major banking institutions.

It is not uncommon to get 0.1% p.a on deposits in business savings accounts.

If you are able to do some research you might bee surprised at the rates

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