We would love to hear your thoughts about our site and services, please take our survey here.
Pile into cash savings and government bonds...
Retail investors are flocking to cash savings and government bonds as riskier bets lose their attraction, updates from two of Britain’s best-known asset managers suggest.
Funds supermarket Hargreaves Lansdown said growth over the latest quarter was driven by customers switching to its Active Savings, a platform to access different cash rates offered at banks.
And rival AJ Bell said investors have been stocking up on government bonds, which are much lower-risk than shares and are now providing far better returns than in the recent past.
Stock markets have proved choppy over recent months amid worries about interest rates staying higher for longer. War in the Middle East and the cost of living squeeze have taken a toll.
Hargreaves reported a slowdown in net new client growth to 8,000 for its first quarter to the end of September, down from 13,000 in the previous quarter.
There was a ‘heightened level’ of withdrawals and a shift towards Active Savings. Share dealing volumes also fell even though it enjoyed a boost from the returns on cash in accounts. I
ts shares slid 6.1 per cent, or 44.6p, to 692.2p.
AJ Bell reported a 10,918 rise in customers in the latest quarter and noted a shift to safer investments.
Laith Khalaf, its head of investment analysis, said: ‘Five of the ten most popular investments in September were government bonds... and this is a trend we’ve seen across the summer too.’
The company’s stock rose 4.3 per cent, or 11p, to 265.4p.
DYOR
RR78, It's not wee I'm a grown up, bless you., nevermind i suppose you'll get that one day...
DYOR
... £565m UK property fund to shut after investors pull cash
High interest rates and a darkening economic outlook are undermining investor confidence.
DYOR
S11, exactly, i respect the fact he delivered two Ref, as stated in the Tory manifesto, but to resign was selfish imho afterall he was voted in to lead as you say and should have seen it through.
Truss had a bigger set of Billhooks than Cameron.
DYOR
30-year bond yields climb to the highest since 1998, surpassing levels seen in the crisis that followed the Liz Truss mini-budget..
DYOR
88, personally i think winning the election it's a poisonous chalice...
DYOR
HU, ""OK......Tory landslide win. 😎""
possible...long road ahead anything can happen;
DYOR
As always, expect the unexpected...
DYOR
S11, Cameron held that Ref believing remain would win......! Honour had nothing to do with his resignation, he saw his @rse...simple!
DYOR
S11 "There was no real need for Cameron to resign it was a matter of honour ""
Are you serious, honour! wft....he still has nightmares about the ref he's probably got a bedwetting problem as a result!
DYOR
T64 "Weaker than Truss, May, Sunak??.?"..
Cameron, held the ref, then shathimself and resigned..
DYOR
88, Lets hope they have sorted it out...does make one wonder if the anchors would work in a crash...!
DYOR
By 0.9 per cent in September as the month proved to be another wash out for the sector – with fears the slump could reflect a wider slowdown in the economy.
DYOR
Are looking for a “quick answer” today after the London Stock Exchange was hit by a technical incident which halted trading in hundreds of smaller stocks on Thursday.
DYOR
War in the Middle East could cause the oil price to surge to $140 a barrel and bring the world to the brink of a recession,
DYOR
Good shout...lets see if the SP can make some lost ground...
D...
Https://www.fool.co.uk/2023/10/19/if-id-invested-1000-in-the-ftse-100-after-black-monday-heres-how-much-passive-income-id-have-now/!~OMSelectionMarkerStart~!!~OMSelectionMarkerEnd~!
DYOR
LTI, is a Bot, AI....
DYOR
WW, one does not have to be a scot for them to knock you, although it is odd that only takes one to call you Scottish and that's enough for a couple on here...
Bill Shankly was the greatest scot that ever lived and that's all one needs to know about me...
YNWA..
*Speech, not meeting..
DYOR