Woodford Concerns

Terry98

MaxiRobriguez wrote: »

A short term positive return is possible.

It's called a Marcus account.

When inflation is 2.5%?

justme111

The thing is just as now there are people rationalizing and explaining the woodford downfall when there is another drop , either generalised or a particular fund's one there may be around people rationalizing those drops and likelihood of no recovery and you (and I ) may well think we taken a wrong decision and sell because we have little knowledge on our own , only regurgitated narrative of a few websites and narratives change... Because at the end of the day if the markets recovered for the last 100 years it does not mean they will keep doing that , and particularly to recover within reasonable timeframe ( because if they do in 50 years it may not be good enough for us).

MaxiRobriguez

Terry98 wrote: »

When inflation is 2.5%?

Op was suggesting the need for emotional comfort by seeing a gain in their investment. We are nowhere near discussing sensible long term investment choices let alone inflationary pressures and real-term gains.

gadgetmind

dividendhero wrote: »

Quite so, when you buy a car you go buy the reputation of the manufacturer and car reviews - unless you're some kind of petrol head or fleet buyer you don't go into the technical spec of the vehicle

I disagree totally. I hate the glossy !!!!! the dealers hand out, and generally distrust reviews, as I want to *know* what I'm buying. I even read the manual for my current car cover to cover *twice* before buying it.

These are huge purchases so putting in a few hundred hours of work before buying makes all the sense in the world.

gadgetmind

AnotherJoe wrote: »

Again you need to understand no one knows what the future holds

As someone recently mentioned Japan, there is a Japanese proverb that (very roughly) translates as "One inch into the future is darkness."

george4064

Terry98 wrote: »

When inflation is 2.5%?

To be fair, the OP simply asked for a 'positive return short term', not a positive 'real' return.

Terry98

george4064 wrote: »

To be fair, the OP simply asked for a 'positive return short term', not a positive 'real' return.

Am I imagining it or did I really make a 'real' return on top rate savings accounts prior to 2008?

I am sure I had a fixed rate 5 year Cash ISA with Skipton that paid 5% when inflation was a lot lower!

seacaitch

Terry98 wrote: »

Am I imagining it or did I really make a 'real' return on top rate savings accounts prior to 2008?

They were relatively plentiful in the 'noughties' as first base rates and consumer credit demand rose, and then eventually as the wholesale funding market began drying up and the lenders had to up their rates, eg. a few examples: 5% from Egg in '02; 5.5% Cahoot in '04; 5.8% Nottingham BS '05; 5.3% MBNA in '06; Icesave(!) 5.7% in '07; B'ham Midshires 6.76%, Northern Rock(!) 6.9%, Icesave(!) 7% in '08; lots in the 6-7% range '09 some of which could be locked in to late 2010.

In 2010 you still had M&S offering 3yr fixes at 4% and in 2011 5yr notice accounts from Northern Rock offered at 4.3% and 2.5yr fixes from Shawbrook at 4.5%. In 2012 Monmouthshire BS instant access at 4% in 2012, but restricted balances I think.

And then "Funding for Lending" came along (plus lots of desire by people to save vs. borrow), and savings interest rates moved closer to Bank Rate.

cogito

Woodford is still insisting that he will be proved right eventually. This is the man who sold Unilever and Diageo to buy Provident and Kier.

JohnRo

cogito wrote: »

Woodford is still insisting that he will be proved right eventually. This is the man who sold Unilever and Diageo to buy Provident and Kier.

Even if he is somehow proved right eventually you'd have to question at that point whether the end has justified the means, he's currently got himself and above all his investors into a right old pickle.

I suspect it's going to be a similar story at WPCT, very little chance of seeing a return on IPO valuation in this lifetime imho and if it does somehow come good in the foreseeable future it would require something quite spectacular to compensate the miserable performance and restore some of the reputational damage done.