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This week's articles: 26 October 2012

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October 26, 2012

FEATURES:

Investment trusts have a lot to offer. Find out how to use them in our special features, which include more than 20 investment trust ideas to suit every investor's needs:

Have it all with investment trusts - Can the oldest form of collective investment hold its own in a fast-changing funds industry?

The professional picks - Four professional investors recommend investment trusts for income, growth, wealth preservation and diversification.

Around the world in 8 trusts - Algy Hall reveals the investment trusts to use to capture returns from around the globe.

Saving with investment trust schemes - Investment trust schemes work for medium-term savers with small amounts to invest, but when used for children have competition from Junior Isas

Nokia's last throw of the dice - The launch of Windows 8 could benefit a host of technology companies.

 

SEVEN DAYS:

All you need to know about investing in the past seven days: what's rising, what's falling and what's making the headlines.

 

NEWS:

Chip makers looking hot - Strong third-quarter figures for Arm and CSR, although Arm sparks more share price excitement.

Apple ambition shrinks - Apple launches iPad mini and sees its share price fall.

 

 

BP closes in on Rosneft deal - BP's board has given the green light to a deal with Rosneft.

Mulberry disappoints - A grim trading update from designer handbag maker Mulberry hit the shares hard.

Turnaround plan revealed for Argos - Home Retail used half-year results to announce a turnaround plan for its struggling Argos operation.

Defence cutbacks start claiming victims - New defence contracts are hard to come by and the prospect of much worse to come next year is causing disquiet in the ranks.

Fiscal cliff threat to shares - Unless politicians act, a fiscal tightening in the new year could plunge the US economy into recession.

Regulator will have new powers to ban products - The Financial Conduct Authority will be able to ban the sale of 'unsuitable' products without consultation.

 

ECONOMIC OUTLOOK:

The dark side of jobs growth - Corporate profits, and share prices, are unlikely to rise much unless labour productivity bounces back.

Next week's economics: Oct 29-Nov 2 - Weak overseas demand is offsetting the stimulus from the Funding for Lending Scheme, next week's numbers could show.

 

COMMENT:

Our columnists offer in-depth analysis and investment ideas:

The Editor - We're fine with funds: We're big fans of self-directed investing, but there are plenty of decent funds out there that mean you don't have to do everything yourself.

No free lunch - Magic carpets this way: How to improve corporate reporting.

Mr Bearbull - When mergers go flat: The possible deal between drinks makers AG Barr and Britvic tells us a sad truth about most tie-ups.

Simon Thompson - A winning performance: Our companies editor has been blown away by the performance of an East London housebuilder.

Simon has also written the following articles exclusively online this week:

Trading buy: Communisis shares to fly - Our companies editor sees potential for a very sharp re-rating in the shares of small-cap marketing services provider Communisis.

Tech that and rally - Our companies editor sees scope for a sharp and imminent re-rating in the shares of a semiconductor company.

The smarter option - Our companies editor shows how to use traded options in a smart way to profit from the rise in equity market volatility even if the market falls.

 

Chris Dillow - The power of Halloween: Halloween is usually a good buy signal, especially for stocks sensitive to investors' sentiment. Also see, Headwinds and tailwinds for ethical investors - there are good reasons to think the odds are against ethical investors - but they have some things going for them.

Property Matters - Under the hammer: Judging by the auction room, economic weakness is not denting small shop investments at all.

 

 

Your views: Security concerns - A reader is concerned at the security of his investments, and whether he's being taken for a ride by spread betting companies.

 

YOUR MONEY:

Financial planning, tax and investment wisdom:

Reader portfolio - Beware naïve diversification: Our reader has achieved something like a global tracker fund, because he is taking market risk but little fund manager risk.

Financial planning - 1.5m entrepreneurs will be pensionless: Self employed workers risk an impoverished retirement, but it needn't be that way.

SmartMoney Self-employed should save 15 per cent of salary.

 

SHARE TIPS OF THE WEEK:

This iconic firm and economic bellwether is reporting record results and things are set to get even better.

■ The economic backdrop is terrible for this recruiter. Fee income is falling, the dividend has been cut and there's a hefty debt pile.

■ Try to see through the turbulence - because there's much more to this company than a mine, and yet the rating seems pathetically low.

These shares are trading 42 per cent below their underlying book value, and that discount looks unwarranted to us.

 

FUND TIP OF THE WEEK:

This gem of a fund has proved it can make money through thick and thin, and those skills have left it ahead of hundreds of its peers.

 

BROKERS' VIEWS:

Ashmore

Direct Line

 

SHARE TIP UPDATES:

Aggreko

Bunzl

Devro

Marston's

Spectris

 

FUNDS:

Fund news - Global managers favour European equities.

How much? - The Majedie Global Growth Investment Trust is the sixth-worst performing fund in its sector, yet it comes with the highest charges, according to data provider Morningstar.

Top 100 funds update: British Empire Securities & General Trust.

ETFs - Should you follow China or Hong Kong? A China ETF may track Hong Kong shares, so you need to check what the indices hold and which you want to be exposed to.

 

SHARES:

The lowdown on the latest company results:

Avacta

Booker

BP Marsh & Partners

C&C Group

Development Securities

e-Therapeutic

Home Retail Group

Whitbread

 

Directors' dealings - Notable transactions at Wilmington, plus a table of all boardroom share trades.

 

Week ahead: A summary of key company announcements expected in the coming week.

 

TAKEOVERS:

Download this week's takeover tables as a PDF.

 

TRADING:

Trading news - Remember, remember returns in November.

■ Trading ideas - Chart-driven calls on FTSE 250, Nasdaq 100, Cotton and Wm Morrison.

The Trader - Nearing oversold: The Trader considers where the lows of the current sell-off may occur and thinks they may be close.