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It is the job of the stock markets to look 18 montrhs ahead. By then we will be boomed : I hope............
But you just cannot look 18 months ahead and ignore the shake-out of companies going bust, unemployment rising and consumer demand falling. In a bull market share prices are expecting big dividends but this clearly will not be the case. Buyers will be lucky if the majority of their investments are still in operation, let alone making big profits. Barclays for example are a crazy price at the moment considering HMG could well own a good percentage of them in a years time.
Barclays for example are a crazy price at the moment considering HMG could well own a good percentage of them in a years time.
But maybe they`re at that price because investors know that isn`t going to happen.
I didn`t have big enough balls to buy barclays at 50p but looking back on it and the investment the Arabs made (who weren`t likely to invest to lose money), at 50p it was a win-win situation, but who would of expected such a quick turn around in share price?
Traditionally stocks start recovery long before the end of a recession. House prices usually collapse 1-2 years after a stock market crash although it`s happened at roughly the same time this time.
I use iii.co.uk.
They charge £10 for share dealing online
For child trust funds, I havent found a more flexible provider than selftrade.
Its the only broker I know where you can trade the fund online yourself. Some of the other brokers have stupid rules, like you can only buy shares on the 2nd wednesday of each month
'Orwell's 1984 was supposed to be a warning, not an instruction manual'. - Nick Pickles, director of Big Brother Watch.
But maybe they`re at that price because investors know that isn`t going to happen.
I didn`t have big enough balls to buy barclays at 50p but looking back on it and the investment the Arabs made (who weren`t likely to invest to lose money), at 50p it was a win-win situation, but who would of expected such a quick turn around in share price?
So Barclays investors know what the future holds. I wish I was clairvoyant also because i would have made a fortune over the years.
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