No Santa Rally

Filo25

Fundsmith, LT and 3i Infrastructure have been the bits that have held up best for me so far, unfortunately many other funds have not been quite so fortunate!

System

The reason that the 9.6% fall (year to date) in the S&P500 has a fairly small effect on UK IT and funds is that this fall has been offset by the depreciation of sterling by 6.4% (year to date) so the net effect is a fall of 3.2%.

Audaxer

Apodemus wrote: »

Interesting to see the range of year-to-date figures from the various posters above. I’ve just looked at the sums and seem to be on a par with most folks at present. Value of holdings is currently down 3.3% on 1st January 2018 but dividend yield was 4.2% of starting value, so currently looking at a total return for the year of 0.9% - which is below the 1.24% return on my Premium Bonds!

If you have taken out the 4.2% dividends as cash and are only down 3.3% on the original capital value for the year, that seems like a not a bad result for an income portfolio over the year.

BananaRepublic

newatc wrote: »

I think we can safely say no Santa Rally this year. as FTSE decline continues this morning. Will have to rely on Easter Bunny rally:)

There is truth to the Santa rally idea, but things are a wee bit more complex at the moment.

We’ve had a long bull run, and we may be entering into a prolonged bear market, so the question I am asking myself is how long the markets will drop for. To be honest I hope for a good solid drop, so we can get back to a bull market, or at least a plateau. In my experience markets tend to climb and at the end irrationally so, and it takes some big event to trigger a drop, the equivalent of looking down after running over the cliff, seeing the drop, and realising that one must fall. I am sure the Brexit uncertainty does not help, but I doubt that on its own can trigger a large fall in world markets.