Investing | This is Money
Search within



How to invest in the electric vehicle revolution

Today, almost everyone is weighing up the pros and cons of electric vehicles, which in turn could mean a golden investment opportunity, according to Maike Currie of Fidelity International. 'Consumer scepticism around EVs is abating - gone are the days where people questioned whether they would get them to the shops, the availability of charging points and what happens if the car breaks down,' she says.

Where do income seekers invest as markets and inflation run wild?

Income-seeking investors had just started to see dividends recover following the pandemic, but are now facing a fresh crisis as inflation takes hold and markets turn red. If, as is feared, a recession is next the situation will worsen as company profits founder and some firms will go bust. Finance experts give their take on strategies income investors might pursue in the current challenging climate and offer fund and trust tips.

Biotech's in the doldrums and that's an opportunity, says Ailsa Craig

Biotech has suffered after a Covid boom and Ailsa Craig of International Biotechnology Trust says that 'valuations have now come right back down to pre-pandemic levels.' However, with growth stocks out of fashion but biotechnology firms continuing to forge ahead with their innovations, she believes investors are being presented with an opportunity in the sector.

MIDAS SHARE TIPS: Dogs of the FTSE dividend powerhouses

Over the past two decades, the Dogs of the Footsie have stumbled at times, with share prices falling from one period to the next. But they have undoubtedly delivered consistently high dividend yields, which has been particularly important in recent years, when saving rates have been at rock bottom. When Midas last looked at the Dogs, it was the summer of 2020. Back then, our ten Dogs were dominated by financial firms. Today, the picture is rather different.

The fund has 190 holdings, 180 of which are in companies. The remaining ten stakes are in investment trusts.

Markets may be heading into a slow tailspin at the moment, but in certain places where the supply-demand dynamic remains heavily distorted, there are still serious opportunities to be found.

Best stocks & shares Isas: Pick the right DIY investment platform

Choosing the right DIY platform is crucial but a wealth of choice and changes to charges have left many investors scratching their heads. We pick some of the best. We also highlight why investing in an Isa makes sense, as it should protect your hopefully growing investments from tax forever.

How investors can protect against rising rates rocking markets

For most investors, last week's base-rate rise was meant to be smooth sailing. All signals were pointing to the Bank of England opting for another increase. But by the time the Monetary Policy Committee met on Thursday, the FTSE 250 had already fallen 4.36%.

How to squeeze the most out of your work pension

Modern work pensions are essentially cheap investment products provided and subsidised by employers. At a time when money is tight, it's worth exploring what they can do for you - including some obscure and surprising add-on benefits. Auto enrolment into work pensions takes the hassle out of saving for retirement, but you could be missing a trick or two by not looking any further than that.

There have been a series of high profile listings in London during the pandemic, from Deliveroo to Oxford Nanopore, but most have excluded everyday investors.

How to invest in green infrastructure: Power, broadband and transport

Infrastructure is an important part of all our lives, providing essential services to support economic and social activity - and it is constantly evolving, explains Rob Morgan. 'For those seeking income, or a stable component to a portfolio that offsets shares, infrastructure investments can provide steady, more predictable returns.' he says. And meanwhile, companies that can help solve pressing environmental and social issues often find themselves in fast-growing markets, he adds.

FundExpert polled its customers on their attitude to investing in China. 71 per cent said the Chinese (and Indian) stock markets should be shunned.

Leigh Day and Harcus Parker, which were both pursuing a claim against Link Fund Solutions for its supervision of the fund manager, will unite.

On Monday the S&P 500 fell almost 4% putting it 21% below its peak in January and officially in bear market territory.

Finsbury Growth & Income continued to underperform in May which Nick Train has blamed on 'annoying' price falls among three of its top holdings: Diageo, LSEG and RELX.

Can these 6%-paying dividend trusts keep your income flying high?

They are digging out this income in various ways - by investing in dividend-friendly overseas companies, buying bonds rather than equities, or investing in income generating solar panels. In some instances, the investment trusts are employing clever tactics to pay shareholders their returns - converting some capital gains into income payments or using income reserves accumulated over years to keep dividend payments sweet. Of course, with inflation heading towards 10 per cent, these income payments cannot fully counter the impact of rising prices. But in most instances, shareholders can expect long-term growth in the capital value of their investments - even if markets fall further short-term.

Renewable energy infrastructure trusts have raised more than £1bn since the start of the year, according to AIC data, while traditional infrastructure has raised £621m.

Equity markets have stumbled this year and the changed outlook for inflation and monetary policy means there has been a rotation away from growth stocks.

Hold BP and Shell in your portfolio to fuel your profits

Investors should look beyond corporate and political rhetoric, remembering that the bulk of the profits of BP and Shell are made overseas. The markets seem persuaded that oil prices will remain high as a result of the impact on supply of the war in Ukraine, and because Opec members have limited capacity to boost production. Despite soaring prices for oil and petrol, demand seems not to be slumping either in the UK or elsewhere, leading some analysts to suggest that prices could move higher seeking a level where usage might reduce.

The aim is to suppress surging inflation - which the central banks are also trying to combat by raising interest rates.

In February, the stockbroker saw Ross, who also owns the Jigsaw fashion chain, snap up a 10 per cent stake.

The term has two meanings. The first is the interest rate that the Fed charges banks. The second is an element in an analysis designed to show the viability of an investment.

Wealth editor Jeff Prestridge asks some of the UK's leading investment experts what investors should do. Stick, twist, or be brave and buy?

A new report raises questions about a key marketing claims that many fund management groups make to justify the fees they charge.

More investors are buying shares to help the planet and its inhabitants. But less is said about bonds - loans to companies and governments to finance this work, says Ryan Lightfoot-Aminoff.

Which big theme investments will make money in the next 20 years?

Investors trying to think long term in volatile times can find a vast array of funds and trusts anticipating trends such as population growth and increased investment to combat climate change. We look at what investors should consider before risking their money in any kind of thematic fund, and which big developments might offer the most richest opportunities over the next few decades. Investing experts also suggest funds and trusts giving exposure to some of the most exciting trends.

The UK shares you could rely on in a recession: Experts pick 80 stocks

Investors are steeling themselves for a recession as central bankers and politicians struggle to get soaring inflation under control. During troubled times, the conventional advice to investors is 'don't panic' and look to the long term, but it is always worth reviewing your portfolio to ensure it is well positioned against the worst shocks. Investment bank Peel Hunt got its sector teams to identify the companies they consider best placed to withstand a tougher environment.

Should people on £50k a year get financial advice and start investing?

Nearly one in 10 adults earn more than £50,000 a year, and around a third describe themselves as confident or in control when in comes to money, according to a survey of people in this wage bracket. But many do not invest, underestimate how much they need to save for a comfortable retirement, and have not sought financial advice, says financial services firm Brewin Dolphin.

Assessing the viability of an investment based on its House of Windsor connections may seem a frothy approach, but opting for quality is tried and tested.

Winning a huge sum of money on the lottery may sound like a dream, but experts warn a sudden windfall could create problems of its own, at least in the short term,

How to invest in making buildings green: Five fund and trust tips

After energy, property is the investment sector with the most planet-saving power, says Becky O'Connor of Interactive Investor. It currently accounts for more than a third of carbon emissions, she explains. Meanwhile, a large part of the sustainability challenge for the industry is correcting mistakes of the past. So what are the most promising areas to invest in, and how do you get exposure?

TerraUSD, a prominent stablecoin, broke its peg with the dollar and is now trading at near zero which has precipitated a wider crash and even blue-chip cryptocurrencies are suffering.

The offer covers several online guidance sessions with a qualified financial adviser to discuss your circumstances, a personalised plan of action and a follow-up support service.

How to cut your tax bill: From income, to CGT and IHT

Households should act now to fight the impact of 'stealth taxes' that are set to cost us an extra £7.5bn this year. The shocking figure was revealed by the Daily Mail this week, and comes amid a sting of rising house prices, soaring inflation, and frozen tax thresholds. When people's earnings rise to combat inflation, but tax thresholds are static, more people are pulled into higher tax brackets. This is known as 'fiscal drag'.

Such a share will often have a high dividend yield or a low PE (price-to-earnings) ratio. US investors look in particular for a low P/B (price-to-book) ratio.

DIY investors looking for a helping hand now have a plethora of ready-made portfolios to choose from - but the huge range of different options can be bewildering.

I followed Warren Buffett's mantra: 'Be fearful when others are greedy' and I invested in a few of the worst hit stocks in 2020.

Now City sources claim Aaqua BV is in talks with France's Vivendi about setting up a joint venture to buy the firm.

Beat inflation: Ten income funds to keep your wealth on track

Inflation is an issue for investors if the dividends they receive are unable to keep pace with rising prices. Especially so if investment income forms an important part of a household's monthly financial armoury. In light of the hostile inflationary backdrop, experts believe investors need to be a bit more imaginative, a bit more flexible, in terms of where they look for investment income. They shouldn't just look at shares, but consider other financial assets.

Putin introduced a law that stopped foreign listings for Russian firms. They can apply for exemptions but it is not clear how flexible the Kremlin is willing to be.

What are Impairments? Investing Explained

This charge affects profits. There are two type of asset: tangible (plant and machinery) and intangible (copyrights, loans, patents, trademarks and suchlike). If a loan has gone bad or seems highly likely to do so, an impairment charge will be made. Such a write-down may also be necessary if demand for a brand has slumped, or an event has occurred that will put the asset out of use, such as a fire or hurricane destroying a major production facility.

Earlier this year, Aviva announced it planned to pay out an extra £3.7bn shareholders - cash built up from the sale of some of its overseas businesses.

Royal London calculates that 3.7m people, with a total of £185billion in cash, are 'open to receiving professional financial advice'.

Investment trusts lend themselves to bargain-spotting because of their unique structure. They aim to make money by investing in other companies.

When the acronym was coined in 2013 by Jim Cramer, presenter of the CNBC show Mad Money, it was 'Fang', then Apple was added in 2017.

What's the cheapest investment account for £100 a month?

Once upon a time, not that long ago, investing for the younger generation - barring the select few with deep pockets - was tricky and expensive, with plenty of barriers of entry. Last week, AJ Bell launched Dodl - so, how does it compare to other platforms when it comes to fees for novice investors.

UK investors ditched £2.5billion of bond funds in February alone - the biggest outflow since the start of the pandemic and by far the greatest outflow of any investment sector.

The purpose is to generate a profit that is larger than the cost of the debt, but there is, of course, no guarantee that this will be the outcome.

Inspired steps in to advise on how to mitigate the cost of energy and manage its clients' consumption and carbon emissions.

How do I invest in gold? ETCs, mining stocks and physical bars options

I am worried about the impact of inflation on my investments and I have heard gold is a good hedge. What is the best way to invest in the commodity?

Investing experts frown on only holding one fund given the risk involved, though some will make an exception for a multi-asset fund if it is broad enough.

Games Workshop, Rightmove and Ocado are among the London-listed stocks best placed to shield investors from soaring inflation, new research suggests.

'Genuine' consumer demand, the fund industry's embrace of responsible investing and regulatory changes will drive the popularity of this sector in future, says Laith Khalaf of AJ Bell.

It is aimed at enticing people with five-figure sums tucked away in cash into the stock market for the first time.

For investors prepared to speculate there are themes and companies which could (I stress the word 'could') come good between now and 2042.

When the richest man on the planet announces he wants to take over a social media giant like Twitter, you expect it to make a splash.

The contract guaranteed my money back and I was to receive a further £2,500 plus a percentage of sale proceeds, but the film bombed.

How we extract, manufacture, use and dispose of resources is becoming increasingly critical to the survival of life on earth, says Isabel Kwok of JM Finn. So how do you get portfolio exposure?

Diversifying your savings will help avoid
storms ahead

Sometimes investors have to ask themselves a few awkward questions, and this is one of those times. You may think that your portfolio is diversified, sheltering you from storms. But could this be an illusion? Harry Markowitz, the American economist who won a Nobel Prize in 1990 for work on the subject, described diversification as 'the only free lunch in finance'. 'Don't put all your eggs in one basket' - an appropriate analogy for the Easter weekend - is often put forward as a basic rule of investment, but it is not quite as straightforward as the homespun proverb suggests.

To calculate the real return from a savings account, say, you would subtract the current rate of inflation from the 'nominal' or advertised rate.

A group claim against Link for failing to safeguard the financial interests of Woodford Equity Income investors is edging ever closer to the courts.

A quarter of investors have pressed pause on their investments as they grapple with rising taxes, energy prices and fuel, according to a recent survey.

Make a shopping list of shares now... to cash in when markets tumble

When markets are falling and fear sets in, it is rarely a good time to start planning a new investment strategy and deciding what to buy or sell. Decisions made in this mindset are often reactive and rushed rather than well thought through. That's where a 'crash shopping list' can prove useful. This is a list of companies or funds that you have researched, believe show potential, and would be willing to buy at the right price. With a plan in place, it is easier to get to business.

CleanTech Lithium, which listed on Aim in the middle of March, has two projects in the southern tip of the Lithium Triangle.

I'm undecided which financial product would be most advantageous, and with inflation rising at present I want to invest not keep money in cash. Ray Black, boss of Money Minder, responds.

Such are the opportunities open to housebuilders that taking a stake in the sector could be a fruitful gamble.

Interactive Investor client portfolios worth £20k-plus have grown nearly 40% in the two years to March 2022, beating the fund industry's 40-85 per cent shares sector which saw growth of just over 33%.

How much money do I need to start investing?

We asked you to send us your investment questions after we launched our beginner's guide to stocks and shares last month. From investing small amounts via lump sum deposits or regular contributions to learning what happens if an investment platform goes out of business, here we ask the experts what you want to know.

We put this question to three top investing experts and their answers were six, 12, and a few dozen... However, they did all add essentially the same rider, 'it depends'.

Tom Stevenson, investment director at Fidelity International, explains what you can learn from a balance sheet using drinks giant Britvic as his test case.

'Never underestimate the ability of the financial services industry to bamboozle the public with jargon and leave people utterly confused.' says Jason Hollands of Bestinvest.

Investment trusts have interesting quirks and features that mean careful research is important in order to fully understand what you are buying, says Ryan Hughes of AJ Bell.

If you are interested in buying shares or know more about unearthing good companies and valuing them, read our guide to share investing.

There's no getting around it, you need do some homework and maths if you're thinking of buying shares. But which sums are the most useful to investors?

Asset classes are interconnected yet differ in terms of their exposure to global risks, says JM Finn investment director Chris Barrett.

Deciding which fund to invest in can be a challenge when managing your own portfolio. Expert Tom Stevenson explains what information to look for and where when selecting investments.

Tax codes explained: How to find out if you're paying too much

Do you ever receive your tax code in the post, look at it and not really understand what it means? A tax code determines how much of your personal allowance is tax free. Tax expert Heather Rogers explains how to check it is correct, so you don't overpay now or end up owing the taxman down the line.

How do you get HMRC to correct a tax code error?

Have you received a tax code for 2022/23 that is incorrect? Tax expert Heather Rogers explains the most common errors that crop up, and how to get HMRC to put them right.It is up to you to check the code carefully, tell HMRC of any errors and advise of any changes in your personal circumstances.

How to pick green investment funds or make your portfolio ethical

Many people have good intentions to invest ethically, but are hesitant to take radical action with an existing portfolio they may have built and nurtured over many years. If you are interested in sustainable investing, but aren't sure what to ditch and keep, or how to find and probe decent replacement funds and trusts, we have asked financial experts to explain what steps to take.

Many are at risk of hasty blunders like selling and putting money in a current or savings account, missing out on tax breaks - or even holding onto old share certificates for sentimental reasons.

Green investing jargon buster: From ESG to greenwashing

Ethical investing jargon tends to baffle investors, with most admitting they have little to no understanding of the terms often bandied around by the finance industry. The majority of investors quizzed for a survey last year admitted they were stumped by acronyms like ESG, and just two in five people were sure they knew the meaning of responsible investing. And yet many more people have piled into responsible investments over the past few years, and research repeatedly shows most savers want their money used to help combat climate change.

How do you work out if companies are well run when stockpicking for your Isa?

A well-run company is likely to perform better and avoid errors and scandal, but judging management competence can be a tough task for individual investors, who need to sift whatever evidence is available.
We asked financial experts what detective work investors should do and the clues they might follow to find out about a company's management practices.

How do I allocate assets in an Isa investment portfolio?

If you don't know your alts from your equities, Quilter Cheviot's executive director David Miller explains how to allocate your portfolio based on how much risk you want to take. 'After you've set your asset allocation, and have selected various funds you consider suitable to fit within that, it is important to remember that investments should be held for years, if not decades.' he says.

How do government bonds work?

Global government bond markets are vast and affect everyone who pays tax, saves or invests. But it's often hard to tell what's going on when there's a surge in bond buying or a sell-off because the jargon used by industry insiders can be pretty impenetrable. We unscramble it here to help everyone else fathom what's going on.

How to research an investment fund

Investment managers have to produce factsheets of important details like charges and performance for each of their funds in a standard format that makes them easy to compare. Known as 'key investor information documents' or KIIDs, these can be a useful starting point.

How do I research an investment trust?

We look at what new investment trust 'key information documents' provide to investors. Financial expert Adrian Lowcock of Architas talks This is Money through which parts of the documents are most worth investigating, and how to use them to research investment trusts.

What do cryptic investment fund names mean?

Investment fund names are often a baffling mixture of impressive but vague words, which mean little to people who aren't already clued up on financial jargon. People hoping to boost their savings by buying a fund or trust face a steep learning curve, unless they're lucky enough to have a friend in the know or are willing to fork out fees to a financial adviser. We offer a short cut, and explain what all the fancy terms really mean.

My son has just turned one and my husband and I would like to use his birthday money to open an investment account for him. So who should we invest with? And what should we invest in?

Pension freedoms mean retirees can now invest their savings how they like rather than buy a stingy annuity. But what do you need to consider and plan ahead for when funding retirement this way?


Investing: don't miss

The investment industry's world of abbreviations...

Acc: Accumulation - any income generated by the fund like dividends or interest is automatically reinvested.
Inc: Income - any income generated is distributed by the fund instead of being reinvested.
Dis: Distribution - any income generated is distributed by the fund instead of being reinvested.
R: Retail - the fund is aimed at ordinary investors.
I/Inst: Institutional - the fund is aimed at corporate investors like pension funds.
A, B, M, X etc: Different fund houses use letters for different things. Check with them what they stand for.
NT/No trail: Some fund houses use this name on clean funds which carry no commissions for financial advisers, supermarkets or brokers, just the fee levied by the fund manager. But other fund houses use different letters - I, D or Y, for example - so you need to find out for yourself which are clean funds.
Gr: Stands for gross.
GBP/£: Fund denominated in pounds.
EUR: Fund denominated in euros.
USD/$: Fund denominated in US dollars.

Savings calculator

Work out how a lump sum or regular monthly savings would grow

  • £
  • and / or
  • £
  • years
  • %