Who I am

When I started working in the private client investment management industry back in 1994, a typical balanced portfolio comprised circa 60% in equities or equity-based funds, 30% in Gilts or other fixed income securities and 10% in cash. UK interest rates were between 5% and 6%.

What followed saw a downward trend in UK interest rates that lasted for 22 years. Investing in UK Government Gilts, and other fixed interest rate securities, was generally a profitable thing to do over this period because when interest rates fall the value of the income stream from such bonds becomes more valuable. The first 0.25% rise in UK interest rates occurred in November 2017. It was followed by a widely predicted further rise of 0.25% in July 2018. Most commentators believe this gradual upward trend is set to continue for many years.

Investment portfolio construction has come a long way since I first started working in the City but what are the implications for investment portfolios of rising interest rates? This is just one of the issues managers need to address today and you should be raising with them.

Myself
“I have known David for over 20 years and during that time worked with him on some of my largest clients. David is well known and respected in both the investment management world and by private client advisors throughout the legal and accountancy professions”
Mike Walker,
Private Client Tax Partner,
KPMG 2002 – 2017

 

“I have known David for over 20 years and always found his views and knowledge very helpful. David is a well known and respected figure in the investment management industry. He has an extensive network of professional connections throughout the legal, accountancy, tax and investment management fields. Very much has his hand on the pulse of what is happening.”
John MacKay,
Tax Partner,
EY 1998 – June 2018