I think it’s fair to say that the UK economy and stock market valuation has taken a major hit since 2016 and unfortunately UK investors have paid the price more than others to say.
One of the architects of the 2016 maybe booted out by 6pm, could this be a turning point to restore investor confidence or is the problem beyond leadership issues.
Think this might be an interesting space to watch as this could be turning point for the good or worse, time would tell.
Personally am inclined to be more optimistic, just not sure weather to follow up the optimism with more investing
Is the UK market, in general, not one of the better performers this year?
It’s an odd one. I mean money follows money right? You get value and growth companies. Most growth companies list in the US, that’s just where the money is.
Inflation and rising interest rates should hurt growth, and value over time if well managed, should rebalance.
End of day, no one can predict the future, so unless you have a strong conviction on a share, just buy a global equity tracker.
UK wise, and the markets now in general, I would check out Investment Trusts. They have fixed capital funding so are generally better at weathering downturns, but then also their valuations, or the market reactions tend to be more extreme.
I tend to buy Investment Trusts at a discount, and flip at a premium to something else, and then back when the market dips again.
The only trusts I think IIRC holding up well, are the clean energy trusts. Think UKW and so on. Even then, I suspect their valuation is based on a longer term expectation that energy will become cheaper as there is a lot of investment heading there way right now.
It’s also a good hedge against your own energy bills.
