Podcast: C of E's strategy without virtue
Edmond Jackson
03.11.09 10:27
With the Church of England's equity-oriented pensions strategy today being derided as 'unorthodox' to 'reckless' by financial advisers, where does this leave individuals who look mainly to shares - for example via a SIPP - in order to maximise long-term return from savings?
It looks as if the C of E has failed a basic moral of the investing game: to be fearful when others are greedy, and vice-versa. Going all-out for equities in 1999, before that bull market peaked with the bursting of the technology bubble, meant a big hit that set the pension scheme with a high hurdle to overcome.
Another key moral is therefore alertness to when and where you could suffer serious losses that undermine your goal to compound returns. Market timing needs some attention.
Yet it is vital also not to lose sight of the essential attractions of quoted shares, and I don't just mean long-term performance figures.
Click on the 'play' button below to listen to Edmond's podcast.
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