News & Politics

MoneyWeek Issue 992

There's a reason MoneyWeek is Britain's best-selling financial magazine. We exist to help you ground your portfolio so that it keeps your money safe during rough patches and growing in the good times. We don't just look at how to maximise your returns and limit your losses, we also like to look at how you can keep more of the money you've made. Week-in, week-out we'll guide you through the financial world as it changes, alerting you to all the opportunities to profit and dangers to avoid, as they appear. Income strategies, rising-star companies, the best funds and trusts, clever ways to preserve your wealth during market turmoil... you will get the best ideas from the sharpest financial minds and investing professionals in Britain.

United Kingdom
Dennis Publishing UK
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R2 353,89
51 Issues

in this issue

3 min.
from the editor-in-chief...

“Scary as it seems, you probably need to keep holding equities – and gold” Welcome to the second issue of MoneyWeek published entirely from our homes. None of us have been to the office since Monday last week – and our very odd new world is beginning to feel less odd than it was even a week ago. We are all getting to grips with long-distance IT problems, home schooling and staying up until midnight every night to try and get supermarket delivery slots. It’s fine. We are also getting used to the insane volatility of stocks (see page 4). And, while we aren’t remotely close to being bullish on the immediate future (and Bill never will be – see page 42), we are starting to look through some of the…

1 min.
scams of the week

In a crisis people panic and become more susceptible to fraud than they normally would be. So it’s no wonder there has been a surge in scams since the crisis erupted. Action Fraud, the reporting centre for fraud and cybercrime, has seen a 400% rise in scams linked to coronavirus in March. Victims have lost nearly £1m so far. “We have already seen fraudsters using the Covid-19 pandemic to scam people looking to buy medical supplies online, sending emails offering fake medical support and targeting people who may be vulnerable or increasingly isolated at home,” Graeme Biggar of the National Economic Crime Centre tells the Daily Express. People are receiving text messages claiming to be from HMRC offering a “goodwill payment” as a result of the outbreak, while emails saying…

1 min.
good week for

Fitness freaks rejoice, your gym’s closure doesn’t mean you have to stop working out. Gyms and several streaming fitness companies are offering online workouts for free. Beachbody, one of the largest streaming fitness companies behind programmes including P90X and Insanity, is offering its fitness programs free for 14 days. Peloton is offering 90-days free on its app, and you don’t even need a bike. Live class offerings include floor workouts, yoga and meditation classes. The coronavirus spells good news for the planet as industrial activity shutdowns have temporarily slashed air pollution levels around the world, say Jonathan Watts and Niko Kommenda in The Guardian. Levels of nitrogen dioxide over the past six weeks were markedly lower than at the same time last year. This year could see the first reduction in…

1 min.
bad week for

Prolific shoplifter and mother of two Sophie Ingram has had £37,000 worth of personal possessions confiscated, says Suzy Gibson in Leicestershire Live. Ingram, 30, was jailed for two years in October after being caught with a kilo of drugs in her back garden as well as £11,642-worth of stolen Mulberry designer handbags. Ingram’s assets included around £10,000 of designer clothes, a Rolex worth around £14,320 and a £10,600 Cartier bangle. The US’s near-total cinema shutdown in response to the coronavirus pandemic has left the US box office with zero revenue for the first time ever, says Andrew Pulver in The Guardian. Data agency Comscore did not issue its weekly report after Hollywood’s main players, led by Disney, declined to issue any figures.…

2 min.
fed goes nuclear as politicians act

Talk about doped to the gills. This week rattled and liquidity-addicted equity markets received the biggest monetary and fiscal stimuli on record. So it’s no wonder they went nuts – at first. Tuesday saw the S&P 500 gain 9.4%, the biggest daily jump since 2008. The FTSE 100’s 9.1% rise was its second-best daily showing on record. Congress delivered a $2trn stimulus on Tuesday, while the “Federal Reserve has gone nuclear”, as Robert Guy puts it in the Australian Financial Review. The world’s most powerful central bank’s embrace of unlimited quantitative easing, or money printing – dubbed “QE Infinity” – will be remembered as a “defining moment” not only in this crisis, but in “the history of central banking”. Fixing the world’s financial plumbing The Federal Reserve had already slashed interest rates to…

1 min.
british valuations look “unequivocally appealing”

Get ready for dividend cuts, says Daniel Thomas in the Financial Times. British companies are usually a happy hunting ground for income-seekers, but with the Covid-19 pandemic decimating earnings and cash hoarding rife, investors are braced for “savage” cuts to payouts. This week saw ITV, Stagecoach and Kingfisher scrap dividends. FTSE 100 dividend payments have almost doubled to £90bn over the last decade. Yet even before the virus earnings cover for many FTSE 100 businesses looked stretched. A rallying dollar saw sterling slump to its lowest level since 1985 early this week before rallying. A weak currency is good news for the multinational giants of the FTSE 100, which make roughly 70% of their sales overseas. But the same cannot be said for the more domestically-focused FTSE 250, which has turned in…