No one can avoid this subject right now but, in this article, I want to address the financial concerns, specifically in relation to investments. Global stock markets fell last week, the largest falls over a couple of days for 10 years, although some are moving upwards again at time of writing, and I do not believe this is a major cause for concern.
This article has been superceded so please see the latest version published on 1st April 2021/
This article has been updated so please see link for the latest version:
Are your investment funds in the dog house? | Financial Planning in the UAE (financialuae.me)
If you would like a chat about your investments and are interested in active future management, or have queries about any aspects of personal financial planning email me at keren@holbornassets.com
This article has been superceded so please see:
FinancialUAE – Why investing can be more than just money
For advice and assistance on the widest range of personal financial planning issues, to make an appointment, please contact me at keren@holbornassets.com and see other articles on this website for more useful information.
With the turmoil in the markets in the last couple of weeks it is understandable that many people have been worried about their investments. The fall in the Chinese stock market triggered a knock-on effect in other global markets and all looked a little worrying for a few days although we have since seen some upward movement.
Is this enough to stop you panicking? Should you be worried?
With so much in the press about investing, as well as lots of conflicting opinions and information, it’s hard to separate fact from fiction, or even wishful thinking. I have therefore put together a simple guide of seven practical tips that are both logical and easy to follow.
It’s easy to get distracted by more fun things when you should be thinking about planning for your future. Few of us find dealing with our finances very exciting, but it something that you must deal with or you are likely to face a retirement and old age with major financial worries. The earlier you start planning the better and professional advice makes it painless.
It is true to say that a number of charges apply when investing in offshore savings plans and some people have found this a little off-putting. Naturally charges will always apply for the management of any investment, but clearly the lower these are the better.
And here is the good news!
For a limited period only you can set up a 10 year regular savings plan without any initial charges. This represents a significant saving. This plan is an exclusive offer, open to mid December and only available to clients of Holborn Assets. There’s even an additional bonus at maturity.
If you have been putting off saving for your future now is the time to act to take advantage of this very special offer.
The Freedom 10 plan is managed by a leading international insurance company and provides access to over 1,200 funds from well-known and respected management groups. This allows me to construct an investment portfolio that is tailored to your needs and views on risk. No other company offers such choice. This plan is also ideal as a vehicle for saving for school or university fees.
For details please contact me on keren@holbornassets.com
The value of your investment can go down as well as up. Returns are not guaranteed. Minimum investment $750, 500 or €500 per month. Allocation rate offsets initial charge in full.
A subject that is of interest to many, particularly in the Middle East.
Here’s an article that I wrote for the October edition of Esquire Middle East magazine – Is Gold still worth buying? What is it all about and how do you do it?
If you have any questions about investing in gold, or anything else, please contact me.
Statistics show that over their working life someone with a bachelor’s degree in the USA will earn, on average, almost twice as much as workers with a high school diploma. Source: US Census Bureau
As a parent you worry about your children. You have high hopes for their future and want them to do well. One of the best things you can do for them is to provide them with a good education. This will give them freedom to succeed in life and greater opportunities for achievement and happiness.
We all know that school fees in the UAE are expensive, although many have employment packages that include the fees which lightens the burden. Education these days however, doesn’t stop at age 16 or 18 and these days the majority of young people go on to some kind of tertiary education. The cost of this is increasing and many young people finish their education with considerable debts. Not an ideal situation for anyone starting out in the world. So how do you avoid the headache of paying for their education without getting into debt?
The best solution is to plan for this well ahead of time. Parents can help their children to receive a good education, as well a reducing the future burden on themselves, by planning for these expenses. Not only are there likely to be tuition fees, but factor in rent and living expenses and the outlay could be very high indeed.
The younger the children are when you start the better as investments have time to grow and ride out the vagaries of investment markets. Ideally this should be for at least a 10 year period, but plans allow you to take withdrawals if monies are required sooner and have flexibility.
When I speak to people about savings plans one of the concerns related to the costs in running the plan – the charges from the insurance companies. The good news is that Holborn has exclusive access to a new plan from a major offshore provider with much reduced and thus highly competitive charges. The Freedom 10 plan is designed to run for a period of 10 years for a minimum monthly premium of $750 (or £500/€500) and for all plans taken out before the end of 2011, there will be no initial charges for the duration of the contract. This is a huge saving and makes this the best value for money plan on the market.
Why not take advantage of a great offer and start planning for your children’s futures now? Contact me to make a no-obligation appointment keren@holbornassets.com
And if your child doesn’t go to university after all? Well, then you have a large pot of money to put towards a first home for them or to keep and spend on yourself! Whatever happens the monies saved and invested can be put to good use.
Even if you don’t have children , you can still take advantage of this great value plan for your own future.
I am sure you are aware that stock markets globally fell considerably towards the end of last week. This is as much by a consensus of fear rather than due to any rational thought. The Euro crisis brought about by opinion that Italy, Spain and others may default has swiftly followed on the heels of the political incompetence in the US as leaders dithered over their own domestic problems.
I do not believe that is another 2008 market crash (which rebounded within a year) as this time the major world banks have largely sorted out their debt, strengthened their balance sheets and have already taken into account the risks of the current markets. The toxic debt issues of 2008 are different to the sovereign debt issues we are facing today. In 2008 no one knew the level of debt, now we do. On top of this some of the major companies like BP and Rio Tinto who have seen spectacular falls are also announcing resounding profits. Most of the Fortune 100 companies have strong balance sheets.
My view remains the same that we are seeing a blip in the market that was not wholly unexpected, and there will continue to be high levels of fluctuation, but with banks offering zero to very low interest and Gilts at almost their highest levels ever, equities remain a good investment opportunity in the medium to long term. We will certainly see volatility for some time yet, but there is no need to panic.
As ever, herd mentality can take over and many people have rushed to sell, mostly unnecessarily, pushing prices down further. Better to be smart, look at the fundamentals and only then take action if required.
As ever, the best option is a diversified portfolio. Your investments funds should be selected based on a number of issues: your personal views on risk, market sentiments, time frames and accessibility. Portfolios should be reviewed on a regular basis to ensure that you are investment in the best performing fund in a sector.
Negative sentiment
Positive sentiment
If you have specific concerns regarding your investments, or wish to discuss taking advantage of the current market falls, please do not hesitate to contact me.