18th April 2018

Long-Investec Wealth & Investment: Long-Term Thinking Weekly Digest

Welcome to this week's edition of Weekly Digest; a topical in-house review of world stock markets and the global economy.

This week, our Head of Investment Strategy John Wyn-Evans discusses the recent increased levels of volatility.

"We are strong advocates of the long-term benefits of investing in equities, so it is reassuring to see that since the end of the nineteenth century UK equities have delivered a real return of 5.1% per annum, far outstripping both long-dated Gilts (1.3%) and Cash (0.7%). Of course, over a shorter period, a lot depends on when the snapshot is taken, and equities don’t come out quite as well on a ten or twenty year view, underperforming Gilts over both periods. The ten-year returns include the financial crisis and the twenty-year returns also include the Dot.com bust. Even so, it is consoling that equities still delivered a 3.2% real return over both periods despite halving twice."

Read more

Investment Commentary, Investments