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It is often claimed that active funds offer greater protection in falling markets. Unlike index funds, active managers can hold cash or shift into bonds to avoid losses. But the evidence suggests otherwise. According to TIM EDWARDS from S&P Dow Jones Indices, most active funds fail to beat the market in bear phases just as they do in bull runs. If you are worried about downside risk, there may be better, cheaper solutions than relying on active management. 1. Active funds sti

Legendary investor and mutual fund pioneer Sir John Templeton apparently once said: “The four most dangerous words in investing are 'This...

A debate has raged in recent years about the wisdom or otherwise of investing in government bonds. I’ve advocated their inclusion in portfolios for a very long time, and still do. But I have to say I’m less enthusiastic than I was, for reasons I’ll explain. But first, how did government bonds perform in the recent tariff crisis? After all, it’s when markets are volatile and stock values fall that bonds, such as Treasurys in the US and gilts in the UK, come into their own. As

Before choosing a financial adviser, it is essential to ask the right questions. One of the most revealing is whether they recommend active or passive funds. Actively managed funds come with higher costs, and over time, those fees eat into returns. As investment author ANDREW HALLAM explains, the odds of outperforming low-cost index funds with active funds are slim. The good news is that more advisers are now turning to low-cost passive funds. If yours does not, it may be tim

President Trump's announcement on tariffs has caused a global market storm. Here are some tips on staying calm where investors panic.

Private equity has grown in popularity, especially among investors looking to diversify away from public stocks. NICOLAS RABENER explains...

The key to investing well may not be about finding big winners, but about cutting out avoidable errors. JOACHIM KLEMENT uses the analogy...

Chancellor Rachel Reeves has announced initiatives to stimulate UK economic growth in the Spring Statement. Although the details have yet...

When investing, many people focus on past performance, but fees and charges are far more important in the long run. LOUISE COOPER...

Starting to invest early offers a powerful advantage because it gives your money more time to grow through compounding. ANDREW HALLAM...

Investors often turn to the financial media for guidance on where to put their money. Headlines highlight market volatility and try to...

Some funds seem to outperform the market, but appearances can be deceptive. Before trusting those results, investors should ask whether a...

Equities don’t cease to be risky investments because you hold them for a very long time. So what can you do to reduce your losses if...

Overpaying rarely makes sense, whether it's for groceries or financial services. In investing, paying too much can quietly erode your long-term returns. Some costs are worth it. But many investors pay far more than they need to, often without realising it. According to investment strategist JOACHIM KLEMENT, that money benefits others far more than it benefits you. KEY TAKEAWAYS 1. High fees reduce your returns Klement warns that unnecessary fees often reward the product provi

There may be some disagreement on the true extent of it, but the UK, like most other western countries, is in the grip of a mental health crisis. Health Secretary Wes Streeting has described it as an “epidemic”. Several interventions have been shown to improve mental health, particularly mindfulness and cognitive behavioural therapy. But there’s one approach that, in my view, deserves far more attention than it’s given, and that’s financial planning. Survey after survey shows

Many people still believe that investment companies exist to help them. The reality is quite different. The fund management industry is extremely powerful, and its main priority is not your financial wellbeing. Instead of focusing on consumer outcomes, it tends to protect its profit margins. According to financial analyst LOUISE COOPER, the industry thrives on complexity and confusion. It has become skilled at making investing seem harder than it really is. Key takeaways 1. T

Greater choice doesn't necessarily mean better outcomes for investors. Learn why active ETFs, private credit, and option-based ETFs may not

Insurance decisions can be tricky. Learn how expected utility can help you choose the right coverage while avoiding costly mistakes.

If you're looking for an edge as an investor, you're not alone. Many people spend their time chasing the latest stock tip or trying to time the market. But what really sets successful investors apart is not secret information or complicated strategies. It is the ability to manage their own behaviour, especially in times of uncertainty. Your investment choices do matter. But the decisions you make about when to act, when to stay patient, and how to respond to market movements

Overconfidence is one of the most common behavioural traps in investing. Just as most people think they’re better-than-average drivers, many assume they’re skilled investors but the numbers suggest otherwise. CONSTANTINOS ANTONIOU from Warwick Business School says this kind of overconfidence leads to poor decision-making, particularly in investing, where people tend to overreact to news or act on unreliable signals. Trading on rumour, reacting too quickly, or thinking you can