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Edition: 27

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Edition 27

  • 16 August 2013

Montgomery on business before numbers, Stammer on rates lower for longer, Owen on diversification deceit, Vamos on implementation bother and Colley on death benefit pensions.

Airlines and indices

If you are not happy to own the entire business for a decade, you should not be comfortable owners of even one share for just a few minutes. Time is the friend of the extraordinary business but the enemy of the poor business.

Nominal and real interest rates matter in different ways

Around the world, real interest rates are now unusually low or even negative. The hunt for real yield that’s become a preoccupation of investors is likely to remain a dominant feature of investment markets for several years at least.

Diversification works?

Nobody ever built a great business, or created a great nation, or amassed a great fortune, or became a great painter or musician or sportsperson or anything else, by diversifying. You need to specialise, concentrate and focus.

Implementation is a hot issue

Implementation is filling minds and devouring resources across the wealth industry. We have so much to implement, in so little time and without a full picture of the regulatory framework that nervousness pervades our lives.

Death benefit pensions and the recent amendments

Technical but important - recent amendments allow the income on investments supporting a non-reversionary pension to continue as exempt current pension income after the death of the member.

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