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Opinion divided on stock market recovery

Opinion is divided as to whether equity markets will rally or decline further in the New Year, says market expert Surrenda Link.

Whatever happens to the FTSE 100, there will be consequences for the housing market. A rally in share prices could take investment cash away from buy-to-let. But if advisers cannot predict the bottom of the equity market, then an alternative investment vehicle with a proven track record is an option worth further investigation.

Despite the overriding predictions of gloom, Surrenda Link says it is possible to find investments that continue to perform well in a volatile equity market. The Surrenda Link Investment Fund continues to offer investors the benefit of a £35 million fund that combines lower than average risk with higher than average growth.

The FTSE 100 would have to rise by almost 60% to match the growth of SLIF since it&#39s inception in November 1999. The fund&#39s smoothed structure and diversified asset base – including property and traded endowment policies – has produced 25% growth since its launch. In the same period, the FTSE has fallen by over 30%.

Matthew Roche, marketing manager at Surrenda Link, says: “The combination of property and TEPs creates unique and attractive investment characteristics. First, they have both produced similar returns over the last five years and secondly they follow different market cycles creating a low volatility investment.

“Irrespective of the performance of the FTSE 100 in 2003, we envisage the TEP funds we advise continuing to provide above average returns.”


CML sees buoyant lending ahead

The CML predicts buoyant mortgage lending in 2003 in its latest market briefing. A slowdown in the rate of house price inflation is widely expected. The CML says: “Most commentators agree that house price growth should moderate going into 2003, with forecasts ranging from 4% to 10%.” It adds: “With continuing strength in approvals we […]

SPML outlines options for unqualified brokers

Southern Pacific Mortgage Limited has outlined four options for mortgage advisers who have missed the MCCB&#39s December 31 deadline and are not yet fully qualified. The first choice is to work under supervision. Stuart Aitken, director of credit at SPML, says: “Within firms, individuals who have already passed the full exams can supervise those who […]

NAMBA consults members on appointed rep proposals

The National Association of Mortgage Brokers and Advisers is consulting members on FSA proposals for appointed representatives. Charles Gooding, chairman of NAMBA, says: “The FSA has published CP159, its consultation on appointed representatives, extending the current regime. It is essential that all mortgage intermediaries read this paper because it creates a new regime for mortgage […]

CEBR sees bad year ahead for housing market

The Centre for Economics and Business Research predicts a bad year for the UK housing market in 2003 as the consumer boom fades away. The gloomy forecast is among 10 predictions the CEBR makes for the economy next year &#45 although it admits that some punts are longer shots than others. It is not all […]


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