There has been so much going on in the last few weeks!
The big item is the vote in favour of Brexit. This will lead us into unknown territory but as usual we can rely on the media to focus on the negative side of this. We see comments such as ‘billions wiped off pension funds’. Granted, sterling is having a tough time against the dollar and the Euro, but the immediate effect of this will only be felt by those about to holiday in America or Europe.
In reality, the FTSE 100 is at its highest level for 11 months. We are seeing good growth on our investment reviews.
As I write this on Wednesday, Theresa May is preparing to move into 10 Downing Street as the first female Prime Minister since Margaret Thatcher. As a result of other hopefuls for the position dropping out of the contest, Mrs May has landed the job much more quickly than she could have anticipated. Let’s hope she does not make errors by rushing to fill Cabinet posts. We need to see strength, leadership and unity going forward.
There will be uncertainty as we move towards breaking ties with Europe. We need to establish the best terms for the UK. The UK is strong – let’s see that strength demonstrated.
As far as investments are concerned, the last 12 months have been up and down due to events in the global economy. Prior to this time last year, we had seen 5 years of good stock market growth.
But the bank interest rate has remained at 0.5% for over 7 years. The banks no longer need your money, as they have restored their reserves. This is reflected in the poor interest rates on offer. The worry now is that interest rates are predicted to fall even further with a likelihood of remaining so for a few years.
Remember we are always available if you want to chat about how to get the best returns for your savings.
Now – what was that tune that David Cameron was humming after announcing Theresa May as the new Prime Minister???