Active investment manager Neil Woodford is under heavy fire this month after large scale withdrawals from his flagship Woodford Equity Income Fund has forced the suspension of the fund temporarily.
Following a sustained run of positive returns across equity markets (arguably 9 years), last week saw a return of the ‘V’ word. Volatility has always and always will be with us, and as long as markets exist there can be no returns over and above the risk-free rate (call this the returns from cash deposits) without risk. This is what markets do; as sure as night follows day.
‘Investors Being Ripped Off?’ Surely some mistake…
You know by now that we subscribe to the notion of appointing low-cost passive fund managers to improve chances of a successful investment experience. Well, we are seeing more and more defection from the ‘dark side’ of active trading, not least because of the cost. Here, Neil Woodford, one of Britain’s best known ‘star’ fund managers, criticises his industry for charging customers too much…
Having wealth brings with it many advantages but also responsibilities. One of these is to ensure that after your death, any wealth that remains is a benefit to your family, other individuals or organisations you wish to support and not an expensive burden. If asked “what would you want to happen to your wealth after you die” most people will reply with a check list of quite reasonable wishes
A drum that we have been banging for the last twelve years at Manse is finally being heard in the larger arena of the financial services industry and the associated press that writes for it.
Recently, The Financial Times “FT Money” section ran an article on probably the most important yet deliberately opaque aspect of investing money in this country, “Hidden Costs That Eat Away at the Value of Your Portfolio” by Norma Cohen.