Leaving your property and possessions to your loved ones
There are compelling financial and emotional reasons for making a will. But why do so many of us shy away from it?
Monthly Archives: September 2013
Pensioner household expenditure
Housing and fuel costs are the largest single expense
T he figures show that household costs fluctuate over time, with annual costs peaking at £45,000 when the head of the household is aged between 30 and 49, reflecting the costs of raising children.
Surviving investment volatility
Resisting the temptation to make short-term adjustments
Some investors may have had a roller-coaster ride in recent years. A market fall can happen at any time. In years past, they’ve been triggered by natural disasters, oil price spikes, wars, bank collapses – and now there’s the eurozone debt crisis. The reality is that market swings happen often, and when they do, it can be unsettling for many investors.
Why pensioners are downsizing to make life easier
One in four retired homeowners hope to raise £62,000 by moving into a smaller home
Nearly three quarters (73 per cent) of the UK’s 10.4 million pensioners own their own home, although more than a quarter (26 per cent) expects to sell their property to raise money or simply to make their life easier, according to new research from Prudential.
Pocket money pensioners
Almost two million retirees have less disposable income than an 11-year-old child
“Look after the pennies and the pounds look after themselves” is an age-old saying dispensed to children as they learn the basics of money. However, adults may want to take heed of their own wise words before they reach retirement, as almost two million retirees currently have less disposable income than a child.
New offshore horizons
Take your money when it suits you
Finding the right offshore investments can be a key factor in making the most of your wealth, and it’s not only for the wealthiest of investors. With a few well-advised decisions you could broaden your investment portfolio.
Enterprise Investment Schemes
Attractive tax breaks as part of a diversified investment portfolio
Enterprise Investment Schemes (EISs) are tax-efficient vehicles set up to encourage investment into small, unquoted trading companies. Following the changes announced in various Budgets, the EIS is the only tax-efficient investment offering a capital gains tax (CGT) deferral. CGT on the disposal of other assets can be deferred by reinvesting the proceeds in EIS shares.
Venture Capital Trusts
Wealthier investors taking a long-term view
A Venture Capital Trust (VCT) is a company whose shares trade on the London stock market. A VCT aims to make money by investing in other companies. These are typically very small companies that are looking for further investment to help develop their business. The VCT often invests at an early stage in a companyís development, so it is a higher risk investment. This means that the VCTs are aimed at wealthier investors who can afford to take a long-term view and accept falls in the value of their investment.
Socially responsible investing
Not sacrificing your life principles in exchange for chasing the best financial returns
For investors concerned about global warming and other environmental issues, there are a plethora of ethical investments that cover a multitude of different strategies. The terms ethical investment and socially responsible investmentí (SRI) are often used interchangeably to mean an approach to selecting investments whereby the usual investment criteria are overlaid with an additional set of ethical or socially responsible criteria.
Investing for income
Safeguarding your money at a time of low interest rates
How do you generate a reliable income when interest rates are stuck at all-time lows and the Bank of Englands quantitative easing policy of printing money is squeezing yields on government bonds (gilts) and other investments? Investors today can still rely on a well-balanced portfolio to meet their needs for income. However, they must be open-minded about the sources of that income, and recognise that low-risk income generation is a thing of the past.