Property News · August 12, 2016

With interest rates low, investment funds look attractive


They are paying an annual income of up to 7%, so it could make financial sense for savers to to leave deposit accounts behindA fund from investment giant Fidelity is offering an annual income of around 7% – or 14 times the interest paid on the average easy access account. Shares in Royal Dutch Shell, Legal & General and HSBC are all expected to pay dividends worth 7% or more. Is now the time to take on more risk and put at least some of your savings into funds and shares?Savers will, quite rightly, be nervous – most would be much happier if accounts were paying 4% or 5% interest rather than risking the swings and roundabouts of markets. It is a dilemma that financial adviser Brian Dennehy, of Dennehy Weller, acknowledges: “In a world of very low interest rates, many will find themselves in income-generating stock market funds through lack of choice, rather than due to a huge enthusiasm.” Continue reading…

Source : theguardian.com
Read more…With interest rates low, investment funds look attractive

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