01278788646 enquiries@pwcltd.co.uk

Spring 2019 Newsletter

With the countdown to Brexit now in days and still no clear idea of the terms under which the UK will be leaving the EU, you’d be forgiven for clinging on to whatever certainty you can find.

It’s unusual to be thankful for the tax year change, but it is one of the few anchors in the current turmoil. While the country may not be able to clearly see the path ahead, there is route from 6 April for new rates and allowances to allow you to plan your personal finances. Philip Hammond’s change from Spring to Autumn Budgets, though initially disconcerting, has the advantage of providing more time for implications to percolate and to dovetail with final year end planning.

These ‘known knowns’, to borrow former US Defense Secretary Donald Rumsfeld’s infamous phrase, can at least serve as anchors over the coming months. What flows into the realm of ‘known unknowns’ is how markets will react and the effect on personal investments. In the Spring edition of our newsletter, we look at two different investment facets – the potential opportunities to diversify your portfolio with increasingly available infrastructure funds, and the behavioural biases you may bring to bear on your investment decisions.

It may feel obvious that markets, and by extension, individuals do not behave entirely rationally. Self-awareness of our own irrationality, however, is often harder to define. As we head into potentially even greater turbulence across investment and currency markets in the coming months, an understanding of what may be driving your reactions, and decisions, can provide a useful lens through which to review your current portfolio and look at new opportunities.

We raise two other ‘known unknowns’. First, the probability of living longer, potentially to 100 or more. ONS data shows increasing numbers reaching 90 and beyond, and your long term financial and retirement planning needs to take this reality into account. Before you get there, however, you may encounter difficult times either through illness or job loss. In that case, taking measures to protect your income and lifestyle from a potential downturn could be a sensible option.

Our next update will come in the Summer, when we should at least be clearer on known, and the currently unknown. We look forward to discussing the implications with you then.

110319_spring_newsletter_2019.pdf866.8 KB

      CII Chartered logo

Positive Wealth Creation Ltd is authorised and regulated by the Financial Conduct Authority. Financial Services Register No: 481182 http://www.fca.org.uk/register.

Positive Wealth Creation Ltd Registered Address: 55 Victoria Street, Burnham on Sea, TA8 1AW. Registered in England & Wales, No. 4802683.

Neither Positive Wealth Creation Ltd nor its representatives can be held responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.

The Financial Conduct Authority does not regulate National Savings or some forms of mortgage, tax planning, taxation and trust advice, offshore investments or school fees planning.

The Financial Ombudsman Service (FOS) is an agency for arbitrating on unresolved complaints between regulated firms and their clients. Full details of the FOS can be found on its website at http://www.financial-ombudsman.org.uk.

The information contained within this site is subject to the UK regulatory regime and is therefore targeted primarily at consumers based in the UK.

Please read our Privacy Statement before completing any enquiry form or before sending an email to us.