View more on these topics

Commercial property shrugs off interest rate rise

Commercial property along with equities and bonds will not be significantly impacted by the rise in interest rates, says Threadneedle Investments.

Quentin Fitzsimmons, head of government bonds at Threadneedle Investments, admits the markets were surprised by the timing of the latest hike in interest rates.

However, he says that returns from commercial property, unlike residential property, are dependent on a wider range of factors than just interest rates, negating the impact of the hit.

He adds: Looking on the bright side corporate profitability is robust and we believe that this should help equities shrug off any drag from higher interest rates.

“Meanwhile UK bond markets are offering higher yields than seen for sometime.

Recommended

Doom-sayers could be right this time

In addition to welcoming a new year with exuberance and alcohol, many people see this as an opportunity to draw a line under the trials and tribulations of the previous 12 months and begin again with a clean sheet, a shed-load of good intentions and the sprightly step of renewed optimism.

Tony Jones to relinquish AMI board position

Tony Jones has revealed hell be relinquishing his position on the board of the Association of Mortgage Intermediaries following his departure from Pink Home Loans. The former managing director of Pink has been a member of the AMI board since June 2006 representing appointed representatives and network. However, following his decision earlier this month to […]

Malone signs two-year deal

John Malone has signed a new two-year contract with Bankhall that will see the grandfather of the industry remain at the helm of Premier Mortgage Service until at least 2009.

Newsletter

News and expert analysis straight to your inbox

Sign up