Index 313
returns
bonds 95–6
equities 95–6, 111–13, 119, 221, 222–3
investment trusts 148
and risk 3, 31–2, 179, 195–6, 262
unit trusts 141
revenue reserves 149
reverse convertible 196–8, 200
risk 17–18, 222–4, 261–9
changing attitudes to 252–5
concentration 149–50
counterparty 177, 188–9, 192–3,
201–8, 263–4
credit ratings 32, 91, 95–8, 203, 205–6
credit risk 192–3, 203
currency risk 100, 130
default risk 18, 32–5, 73, 171–2, 203,
265
diversification 18, 99, 150, 208, 255–61
flight to quality 208
high risk portfolios 261, 269
hybrids 166–7
infrastructure funds 158, 160
liquidity 18, 36, 157, 210
low risk portfolios 261, 266–7, 272–4
medium risk portfolios 261, 267–8,
274–8
property funds 156
and return 3, 31–2, 179, 195–6, 262
spread 18
stock market 111, 177, 201–2, 209–10
structured products 177, 182, 188–9,
192–3, 201–10
risk free return 255
roll‑up options 197
Roman Shares 20
rule of 72 304
running yield 77, 263
Russia 33, 89–90
S&P 96–7
salary sacrifice 218
savings accounts 40–63, 195, 266–7
bonuses 61, 62
children’s accounts 53
compensation schemes 48, 53–4, 62,
63
escalator bonds 50
fixed‑term bonds 7, 8–9, 50, 62–3
guaranteed income bonds 61
index‑linked 55
instant access 7, 42–4, 49
interest rates 7, 42–8, 51, 63
guarantees 62
ISAs 51–2, 63, 217–19, 232–3
marketing 40–1, 226
money market accounts 59–60, 265
monthly interest 50, 63
National Savings 54–5
notice accounts 49–50
opening restrictions 61
over‑50s 53
premium bonds 56–9
regular savings 50–1, 63
retail savings 13–14
supply of products 14
taxation 37
withdrawal penalties 61–2
see also interest rates
savings strategy 3, 214–15, 216–17
Schwab 95, 242–3
Scottish & Southern Energy 108–10
sector bias 137, 149–50
selling low 228
share buybacks 133, 138
shareholder returns 114, 133
shares see equities
Shiller, Robert 22–3
Siegel analysis 282
simple yield 77
simplicity 5–6
Smith Barney 241
Societas Publicanorum 20
split capital funds 4–5, 160–6, 175
bank debt 163
capital shares 161, 162
cross fund holdings 163
fees 163
income shares 161, 162, 165
taxation 166
transparency 163
zero dividend shares 4, 161, 162, 164,
165–6
spouse’s tax allowances 234–5

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