By Investment Desk | 14 Apr, 2025 The past week has seen yet more swings in financial markets, following Trump’s announcement to postpone most reciprocal tariffs, while simultaneously increasing tariffs on Chinese imports. After an initial rally in equity markets post Trump’s announcement, equity indices have given back a lot of the gains. Global bond markets have not been immune to volatility either, with the benchmark US government 10-year bond…
By Algernon Percy | 08 Apr, 2025 The outlook for interest rates Bond yields around the world are diverging. Looking at the returns from bond markets over the last three months (+0.5% from gilts, and +1.5% from the global market broadly, in sterling terms), one could be forgiven for thinking it was an uneventful quarter. However, there was considerable diversity between different countries, with Japanese yields going relentlessly up as…
By London & Capital | 25 Mar, 2025 Following the merger of London & Capital (“L&C”) and Waverton Investment Management (“Waverton”) in July 2024, the company announces today that it will be consolidating its brands under a new name, W1M. The launch of W1M signals the coming together of two highly successful firms and coincides with the combined business surpassing £21 billion of assets under management, placing it amongst the…
By Algernon Percy | 09 Jan, 2025 The outlook for interest rates Bond yields have risen markedly. Given that the economic and political prospects in the UK and the US have diverged so markedly in the last three months, it is perhaps surprising that 10-year gilt and US treasury yields have ended the year at almost identical levels – 4.56% and 4.57% respectively. Moreover, they have moved on a broadly…
By Tahir Mahmood and Jonathan Gold | 18 Nov, 2024 A great deal has been written since Rachel Reeves delivered her maiden budget on 30th October. Much of it has focussed on her fiscal policies for raising taxes. Most notably for the UK-based investor community, some of the announcements focused on the non-domiciled regime of taxation have created some highly significant planning opportunities. Opportunity Before April 2025: Navigating the Transition…
As an American living in the UK, you are subject to two tax systems with differing deadlines and tax periods. To avoid a mismatch in tax credits most people should look at making early UK tax payments. Why is a pre-payment required? US taxpayers may need to claim Foreign Tax Credits to reduce a US tax liability on income and capital gains. The amount of foreign tax credits available in…
The extent of the victory by former President Trump was not expected but financial markets have been discounting a Trump victory since the end of September. Some of the rise in US 10-year bond yields last month (from 3.79% to 4.28%) were a reflection of that trend. Trump’s policies, including tariffs on imports and the likelihood of lax fiscal policy, are seen as potentially inflationary. The dominant narrative in markets…
By London & Capital | 07 Nov, 2024 London & Capital, a leader in cross-border and international wealth management services, announces the relocation of Todd Cowan, Executive Director and Wealth Manager, from the firm’s London office to its European headquarters in Barcelona, Spain. With this strategic move, London & Capital is delivering on its commitment to enhancing the firm’s presence and commercial operations across Europe, with a particular focus upon…
By Investment Desk | 30 Oct, 2024 After a robust first half of the year, risk markets experienced heightened volatility in the third quarter. In part, this could have been due to the lingering disconnect between risk markets and economic growth trends in the West: markets are pricing in a soft landing, whereas economic indicators suggest a wider array of outcomes. Additionally, the unwinding of the Japanese yen carry trade…
In the budget on 30 October 2024, the government will announce further details on the abolition of the non-domiciled regime. The current non-domiciled regime requires certain taxpayers to segregate their offshore capital to ringfence clean capital from other non-UK taxed capital. “Clean capital” is any capital that can be used in the UK without being subject to an additional UK tax charge and broadly includes any capital that arose prior…
By Robert Fernando CFA | 09 Sep, 2024 The usually quieter summer months for financial markets stirred to life with concerns over central bank policy, a slowing US economy and corporate earnings guidance.The fall in equity markets during mid-July spilled into early August and by the 5th, the S&P 500 index was down 10% while the more global MSCI World equity index was down 8.5%.However, markets recovered during the month…
By Shadrack Kwasa | 15 Oct, 2024 For profesionnal investors INTRODUCTION Inflation has weighed heavily on investment markets for a prolonged period. Central Banks have waged a war against inflation and victory appears imminent as we have seen the most recent inflation readings signalling inflation is coming under control. This is an inflexion point for investment markets as we are now moving from a period where high interest rates have…
By Ed Johnson | 16 Oct, 2024 INTRODUCTION Labour has proposed that changes to the taxation of non-UK domiciled individuals will likely take effect from 6 April 2025. While we await further details on the Budget to be delivered on 30 October 2024, affected clients are understandably anxious. Abolishing non-dom status represents a significant change for international families in the UK and their financial affairs. Each client will be impacted…
Sudden wealth is an exciting prospect for anyone. Maybe you’ve received a large inheritance, sold your business after a lifetime of hard work or cashed in on a family property. Whatever the source, there’s a temptation to start making big plans when a financial windfall comes your way. The future may suddenly be brighter, but taking time to stop and think is likely to benefit you in the long run.…
By London & Capital | 20 Sep, 2024 We are delighted to announce the appointment of Nicole Ralph as an Executive Director to our Private Wealth team. Nicole brings over 20 years of experience working with HNW US expats and their families. As a dual US/UK citizen, she has dedicated her career to helping US connected global households, like her own, navigate the complexities of this as individuals, families, mixed…
By Tahir Mahmood and Marco Malagoni | 05 Aug, 2024 The next budget will be held on 30 October 2024 and we are now preparing for anticipated changes. Today, Tahir Mahmood and Marco Malagoni discuss the potential tax changes. Labour has proposed a comprehensive overhaul of the tax system, with assurances that there will be no increases in income tax, National Insurance, corporation tax or VAT. However, changes are anticipated…
Tax planning sits at the heart of every successful wealth management strategy. Talking tax can be difficult. It doesn’t have the glamour of planning an investment portfolio or discussing a lucrative business exit, but tax planning is pivotal to your financial future. Everyone can benefit from understanding the fundamentals. Tax planning is embedded into every aspect of wealth management. Whether you are thinking about investing, estate planning, cashflow management, philanthropy,…
In the fast-paced world of wealth management, technological advancements have sparked a revolution, fundamentally altering the way clients interact with their advisors. As digital efficiencies continue to shape the industry, clients are redefining their expectations, seeking a blend of convenience, expertise, and personalized guidance. The advent of digital communication tools, exemplified by the widespread adoption of platforms like Zoom, has redefined the client-advisor relationship. What was once a rarity –…
Concerns about family wealth during times of market turbulence are completely understandable. The disruptive economic conditions of the past few years, which have brought inflation and rocketing interest rates in some markets, can be unnerving for those used to calmer times. Families work hard to build their wealth and the thought of it being threatened by economic disruption can be an unpleasant experience. Protecting family wealth during periods of extreme…
The Chancellor of the Exchequer’s announcement that the United Kingdom’s non-dom regime will come to an end should have taken nobody by surprise. The decision by Jeremy Hunt to phase out the controversial tax system puts a full stop at the end of an argument that has flared up periodically over a number of years. The political durability of the non-dom regime has long been questionable and now it has…
The start of a new year is always a great time for a fresh outlook on your finances. Strong wealth management requires regular reassessments of your financial priorities and this time of year is the perfect period to take stock. Putting thought into how your financial position has changed and whether you have new aims for your wealth could lead to positive results. Financial planning is one of our core…
Cashflow modelling is an integral part of the wealth management process. Anyone whose wealth grows beyond a certain size will soon realise that this blessing comes with the need to handle an increased level of financial complexity. More money tends to mean more complications and losing track of your finances is a genuine risk. Robust cashflow modelling can bring much-needed clarity and help to ensure your future remains financially secure.…
The role of a good asset manager is to protect and grow a client’s money. An obvious statement maybe, but one worth making – particularly when it comes to discussing equities. Stocks are often the most glamourous, headline-grabbing part of the investment universe. They loom large in the public imagination and feature heavily in popular culture. The stories we tell about companies and stocks are the core appeal of the…
The prospect of a wealth tax in the United Kingdom has been discussed for some time now. Tough economic times inevitably spark debates around inequality and whether the wealthy should contribute more to the public purse. So in a country suffering with a cost of living crisis, the possibility of increasing taxes for the better off is getting a hearing. And introducing a wealth tax is one of the more…
Insurance strategic asset allocation, a tool to navigate the investment labyrinth Investment markets are a labyrinth We have explored some interesting themes in our journey through Greek mythology (multi-faceted risk, active vs passive for insurance, duration vs convexity for insurers). In this next instalment we introduce another Greek hero, Theseus, who attempts to solve the puzzle of the Labyrinth – something that can be likened to insurance companies trying to…
One of the most noticeable aspects of the cost of living crisis is how widespread it has become. Nobody seems to be immune, not even the wealthy. Even if you have accumulated a comfortable amount of wealth, you still need to buy groceries, take flights, pay bills and visit restaurants. The sharp intake of breath that comes with price rises can be experienced by anyone. Feeling the pinch appears to…
One of the satisfying aspects of acquiring wealth is that it presents the opportunity to give something back to society. Wealthy individuals will often reach a point in their lives when they would like to use their money to fund deserving causes. For many wealthy people, this charitable instinct will involve attempting to bridge the wealth gap and help to reduce income inequality, assisting others in their attempts to build…
The most important number in an entrepreneur’s head is usually the offer they require to sell up and retire comfortably. Watching your company flourish and grow can be an exhilarating experience and part of that thrill is knowing that your efforts are making you wealthier. You have built something valuable and one day the time may be right to reap the rewards and enjoy a slower pace of life. But…