An article in the FT at the weekend touched briefly on how ISA investors looking for “cheap” deals often make the wrong investment decisions. Read more

An article in the FT at the weekend discussed this subject Read more

The article below reminds us that supporting business may be the only way to sort out the problems our country is facing. In due course those businesses will make a profit and so ultimately pay more taxes.

Read the article here

I refer you to an earlier blog about EIS’s and VCT’s, the tax treatment of which has been altered (hopefully enough) to encourage greater involvment in new business. Mindful of the riots last weekend and with reference to Philip Green, I personally do not think the answer is to chase such chaps and their money away from the UK. In fact, perhaps we should give them more tax breaks, as long as they keeps investing back into Britain and keep doing good business. We need the jobs that come from such successful people and, to be political for just one moment, people like Philip Green are much better at producing real productive jobs and real tax revenue than any government administration.

Again I remind you that these comments are designed to spark discussion – a bit like the daily papers – and do not constitute advice in any form. You can find us at www.buildyourwealth.co.uk

Build Your Wealth Ltd is authorised and regulated by the Financial Services Authority. Registered in England No. 04557482

This article from FT.com is a good read and yes, the budget opened the door to more business through these arrangements.

Read the article here

This will mean that, as next year warms up, businesses and scheme administrators will be designing different ideas for you to invest in and gain from tax reliefs. It will be interesting times. The good news with these arrangements is that they are pre-certified by HMRC. In simple terms this means the scheme administrators have said to HMRC “this is what we are doing and this is how we are doing it”. HMRC have said “OK, when people invest in this we will automatically accept the tax credit, as long as you do as you have outlined”.

Don’t get over excited through. What really matters is the underlying investment. The tax breaks will be waived at you with great stories but always focus on the underlying investment. Watch out for Enterprise Zone investments that have anything other than an independent tenant with a strong lease and understand, at least in basic terms, the underlying companies you are investing into when using an EIS or VCT. I would wait a few months before doing anything new, or have a look at proven EIS propositions – now with the higher tax breaks.

Again I remind you that these comments are designed to spark discussion – a bit like the daily papers – and do not constitute advice in any form. You can find us at www.buildyourwealth.co.uk

Build Your Wealth Ltd is authorised and regulated by the Financial Services Authority. Registered in England No. 04557482

The article I refer to was by Paul Farrow (Daily Telegraph – Saturday 5th March 2011) in the Your Money section under the title Focus: Protected Investments. I cannot find the link now but have blogged about the subject anyway as I think it is important.

The blog heading is worded this way because, in my opinion, investors are being put off such products unnecessarily. I agree they are not for everyone but the reality is that different investments suit different people. Read more

An article in the Financial Times this weekend highlighted that IHT rules are changing. Looking at this planning sooner rather than later might be a good idea. Read more

That acronym ISA is everywhere again. This blog is to remind you of the basics (not the detail) and to give pointers to 3 categories of investor: • those who think ISA’s are "safe". • those who wish to save safely but are not happy with the current rates of cash deposit returns. • those who know ISA’s might not be "safe", who want to invest anyway but are wondering what to do. Read more

Moneybox interested me this weekend, as the whole subject of risk and the misleading names of fund sectors came up. I say interesting because IFA’s, and even banks, have struggled for years with how best to explain risk to clients, at the same time as having to follow FSA guidelines (which change), compliance advice and guidance (which change) and industry and investment speak that is often " in another language" to consumers. Read more