You are here: Home - Saving & Banking - News -

Investments and pensions underperforming

Written by:

For most savers and investors 2007 has proved to be another challenging year, according to financial information provider Moneyfacts.

High volatility in stock markets have come about as a result of the problems in the US sub prime mortgage market and the subsequent credit crunch. 
The UK equity market has proved particularly vulnerable to the credit crunch. In mid August the FTSE 100 plummeted to 5,858 after suffering a 4.1% fall in just one day. However, it has bounced back strongly since and at the start of December stood at a more comfortable 6,432, a rise of 3.4% for the year.
The average UK All Companies fund has fallen 2.7% over the year to date, whilst the average UK Smaller Companies fund has posted an even bigger loss of 9.6%.
The UK has been among those hit hardest by the credit crunch, Asia has emerged relatively unscathed, with China in particular enjoying a phenomenal 2007. Lipper figures show that the Asia Pacific Excluding Japan sector was the biggest success story of the year, with the average fund posting growth of 27.8%.
Richard Eagling, Editor of Investment, Life & Pensions Moneyfacts commented: “It may be the season to be jolly, but for many savers and investors, events over the past few months have brought precious little in the way of Christmas cheer. Instead, the prevailing sense of uncertainty created by the ongoing credit crunch and stock market volatility is in danger of serving up a large dose of the winter blues.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

After an award-winning health insurance provider?

Winner of best online health care provider in the Awards 2015

Guide to valuations and surveys

Do you need a vanilla valuation or a survey with a fringe on top? Martyn Stones explains the different types o...

A guide to picking the right credit card

To mark the 50th anniversary of Britain's first credit card, here's a handy guide to help you figure out which...

A guide to choosing a children’s savings account

Whether you want to get your kids into the savings habit or just want to start building up a nest egg, there's...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Spending boost post-Base Rate cut

Spending levels has been strong this Christmas, according to data covering cash withdrawals from 64,000 cash machines all over the...