The £116k a month cost of failed fund
The Times has a story about how investors in the failed Woodford Equity Income fund paid £116,000 in charges for a month’s work to wind down the fund. It also suggests investors will get back three quarters what the fund was worth when the fund manager closed it.
Woodford was once put forward by papers, including the Times, as a good place to put your money. It is important to understand the detail behind the stories and what the worst-case scenarios could be when investing.
Why the wealth manager at your branch is now after your savings
Another story in the Times about how banks are starting to offer their customers the option to move their cash to investment products.
Low-interest rates are suggested to behind this move. They are also suggested to be why savers might want to invest their money.
The Financial Conduct Authority expects all retail banks to offer an automated advice service soon. In a report last week, the regulator said: “Consumers may be more inclined to trust an established brand and the entry of retail banks into the market may attract more first-time investors.”
This may be okay for some, but we believe an investment should be a product of a financial plan. You should have a reason to invest. Automated advice is not the best place to get this.
Inheritance tax warning as many in the UK struck by ‘hefty tax bills’ amid Rishi Sunak row
The Sunday Express has a story about exerts warning of “Hefty” Inheritance Tax Bills. It says the number of families charged inheritance tax on gifts has climbed.
The story explains that gifting rules can be complex, and many are falling foul of them. As specialists in planning to reduce Inheritance tax, we are well placed to explain these complex rules and develop a strategy.