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Realistbear

Strong Evidence That "house" Money Is Going Into Stocks

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http://www.thisismoney.co.uk/investing-and...34&in_page_id=3

ACCORDING to the experts, we are in for a bumper equity Isa season this year as small, private investors make a return to the stock market.
ALL ABOARD: But have new investors missed out on the best of the market revival?
Figures from the Investment Management Association show equity Isa sales were up by 110% in January on the same period last year and sales in the first quarter of the year could be above £1bn.

With BTL offering probably negative returns on capital and rents this year the punters are looking elsewhere for a decent return. The House Market is deads long live Equities!

My broadly based "portfolio" of mutual funds and equities returned a scary 16% last year but I am not too sure about 2006 with the HPC looming as it will drag quite a lot down with it. Timing is going to be key this year--that is, knowing when to get out.

Edited by Realistbear

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This demonstrates that not all the public are indebted fools living on credit card debt.

Society is becoming richer generally. Only the stupid can fail to have spare money in a low inflation high employment booming economy.

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I'd expect it's also to do with equities having had a good run since 2003 (regardless of BTL).

3 years of momentum is enough to convince the masses...

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This demonstrates that not all the public are indebted fools living on credit card debt.

Society is becoming richer generally. Only the stupid can fail to have spare money in a low inflation high employment booming economy.

I would agree but most of it is coming from margin loans--most people have no spare cash as evidenced by the recent data on UK savings rates. Borrowing to invest in the stock market has got to be the riskiest foolishness ever. Not so sure about "low inflation." Some say we have the highest IR in history given the high level of debt that needs servicing. Retail is dumping employees daily and the trend does not look healthy as offshoring gathers momentum.

Edited by Realistbear

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This demonstrates that not all the public are indebted fools living on credit card debt.

Society is becoming richer generally. Only the stupid can fail to have spare money in a low inflation high employment booming economy.

£1.15trillion of debt = richer???

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This demonstrates that not all the public are indebted fools living on credit card debt.

Society is becoming richer generally. Only the stupid can fail to have spare money in a low inflation high employment booming economy.

Low inflation??? Where, the moon?

Richer generally eh? How exactly?

Most people earn money via working. Wages are increasing at a slower rate than the inflation rate of most essential goods. So how exactly are people getting richer.

I'd agree that a homeowning section of society are in general feeling richer as they have participated in HPI, in a background of general inflation lower than HPI.... but unless they can cash it in then they havne't actually got any richer.

If I own a house 'worth' £100K and it doubles in value then I still own the same house... I only become £100K richer if I sell it.

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Low inflation??? Where, the moon?

Richer generally eh? How exactly?

Most people earn money via working. Wages are increasing at a slower rate than the inflation rate of most essential goods. So how exactly are people getting richer.

I'd agree that a homeowning section of society are in general feeling richer as they have participated in HPI, in a background of general inflation lower than HPI.... but unless they can cash it in then they havne't actually got any richer.

If I own a house 'worth' £100K and it doubles in value then I still own the same house... I only become £100K richer if I sell it.

So if there's not more spare money floating about how are people increasing their ISAs yr on yr?

It's a two tier economy - those getting richer every year and those getting poorer.

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Only the stupid can fail to have spare money in a low inflation high employment booming economy.

The stupid being the ones who have bought their housing when they are seriously OVERPRICED and have no spare cash coz they have bills coming out of their ass! I must say Steve - I quite agree :)

TB

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So if there's not more spare money floating about how are people increasing their ISAs yr on yr?

It's a two tier economy - those getting richer every year and those getting poorer.

Your trolling right? Does it not get boring?

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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