The FTSE

[GornikDaze]

Four Biggest U.S. Banks Lose $52 Billion in Market Value

The four biggest U.S. banks lost $52 billion of market value Thursday, part of a broad rout across financial stocks. Bank investors were spooked by SVB Financial Group's [decision to sell a large chunk of its securities portfolio](https://www.wsj.com/articles/bond-losses-push-silicon-valley-bank-pa

www.wsj.com

Does this mean we're all fucked?

Depends if you have any money or not ;)

 

[TinFoilHat]

Depends if you have any money or not ;)

Being skint I'm basically fucked then?

:)

 

[Corky]

Bank shares in the UK have been rocketing up since October before the recent drop, so most investors should be well up.

 

[Gareth Barry Conlon]

Four Biggest U.S. Banks Lose $52 Billion in Market Value

The four biggest U.S. banks lost $52 billion of market value Thursday, part of a broad rout across financial stocks. Bank investors were spooked by SVB Financial Group's [decision to sell a large chunk of its securities portfolio](https://www.wsj.com/articles/bond-losses-push-silicon-valley-bank-pa

www.wsj.com

Does this mean we're all fucked?

Couple of things driving this.

Inflation still high and rates likely to be at higher end of forecasts. That is not good for investment.

The higher rates will drive more default and this has caused concern across the industry. But it hits hardest with high risk speculative stuff. The tech focused SVB bank is struggling to raise capital, this is further spooking the market.

 

[117 M34]

Bank shares in the UK have been rocketing up since October before the recent drop, so most investors should be well up.

My money is in a nutmeg account and is down about 7% from when I opened it in March 2021.
Seems to have dropped quite a bit today.

 

[Corky]

My money is in a nutmeg account and is down about 7% from when I opened it in March 2021.
Seems to have dropped quite a bit today.

I meant just with bank shares, they had a good time and a readjustment was probably inevitable. I don't bother checking investments like that on a regular basis, the work laptop is bad enough with the updates on the 100, 250 and 350, that I do not have permissions to disable, flashing up on the taskbar all day.

 

[flook]

Four Biggest U.S. Banks Lose $52 Billion in Market Value

The four biggest U.S. banks lost $52 billion of market value Thursday, part of a broad rout across financial stocks. Bank investors were spooked by SVB Financial Group's [decision to sell a large chunk of its securities portfolio](https://www.wsj.com/articles/bond-losses-push-silicon-valley-bank-pa

www.wsj.com

Does this mean we're all fucked?

from looking at my ISA's drop today I have to conclude "yes"

 

[dickie davies]

It's not affected my American fund and 12.5% of that is in financials, in fact it moved up by 0.5% today

Chart

www.fundslibrary.co.uk

 

[Gareth Barry Conlon]

It's not affected my American fund and 12.5% of that is in financials, in fact it moved up by 0.5% today

Chart

www.fundslibrary.co.uk

The fund is possibly up due to the good jobs figures. But those are also why rate forecasts are up. And high rates mean more defaults. SVB has gone bust today as it holds lots of high risk exposure. Banking stocks will be in squeaky bum territory for a wile after this.

 

[pluto]

HSBC bought Silican Valley bank UK subsidiary for £1. One pound

 

[west didsblue]

Carnage across the board Friday and today. Seems there’s some contagion from the SVB collapse. May be a buying opportunity later this week.

 

[west didsblue]

It's not affected my American fund and 12.5% of that is in financials, in fact it moved up by 0.5% today

Chart

www.fundslibrary.co.uk

Probably because a fair chunk of your fund is in bonds which countered the hit to equities. My US funds both went down around 3% on Friday and I’m expecting worse today if Wall Street follows what’s happening here today.

 

[M18CTID]

I've pretty much given up hope of having a decent pension pot when I turn 55 in a couple of years time. Things were looking a lot healthier with my investments back at the start of 2021 - despite Covid, most of my funds were performing really well. Since then, they've pretty much all took a twatting. This has been exacerbated with me - somewhat unwisely perhaps - going balls deep in NIO which is way down on my initial investment. I've bought more to help bring the average buying price down but there's no sign of it recovering at the moment. There was talk of an improvement in the share price now that China has binned off its Zero Covid policy so I'll just have to wait and see. If it can just get back to the ATH of January 2021 then all of a sudden things are looking rosier and anything considerably beyond that becomes even rosier again. In any case, I can't touch my pension pot for another 25 months anyway so it's a case of sitting tight.

 

[journolud]

Seems one thing after another over the last few years. I've been pretty passive as far as managing my finds goes as there doesn't seem to be anywhere that is safe from the general malaise.

 

[ganganvince]

Pensions: why do those retiring face ‘massive’ losses despite FTSE highs?

Retired planner was shocked to see that his Aviva pension had dropped 20% in value last year

www.theguardian.com

Interesting read

 

[dickie davies]

Pensions: why do those retiring face ‘massive’ losses despite FTSE highs?

Retired planner was shocked to see that his Aviva pension had dropped 20% in value last year

www.theguardian.com

Interesting read

Thanks for posting that
It doesn't affect me as I have a personal pension that I have control over where it's invested, but it has opened my eyes to the supposed low risk policies as I approach retirement

 

[flook]

ISA down 5.2% in the last few days, seems every time it gets close to December 21 levels some fucker kicks the legs from under it again :/

 

[Tommy_Catons_Perm]

Pensions: why do those retiring face ‘massive’ losses despite FTSE highs?

Retired planner was shocked to see that his Aviva pension had dropped 20% in value last year

www.theguardian.com

Interesting read

Thanks for this. Fortunately my DC pensions are invested in target drawdown funds and so have not been adversely affected.

But a few years ago they were invested in target annuity funds but luckily I made the switch. I say luckily because I did not realise target annuity funds would mostly invest in gilts which have lost value.

I'm fairly clued up financially but I think pensions are overly complicated, especially for the average punter. I'll have no chance managing this in my 80s:(

 

[I'm no cynic but...]

A lot has happened over these past 5 years. Brexit, covid, Ukraine and a general malaise surrounding a Government that is utterly clueless, but despite that the Footsie is still trading above the 200 day moving average level which is still a positive level. Anyone who bought into the footsie when the index fell below this average over this period would likely have gained such is the way markets work.

 

[Corky]

Pensions: why do those retiring face ‘massive’ losses despite FTSE highs?

Retired planner was shocked to see that his Aviva pension had dropped 20% in value last year

www.theguardian.com

Interesting read

I was saying this last July, the low risk investments with ISA, AVCs etc dropped a lot more than the higher risk one, due to the former having much more bonds.

The Guardian article is acting like it is a warning, but the horse has well and truly bolted.

Savings account/money in shares. What’s the best option?

Depends what you plan to do with it? I’d more like inclined to look at a gold ETF. I don’t know if you’re familiar with ETF’s - If not, it’s an Exchange Traded Fund, so is basically like buying gold on the stock market as you would when you purchase shares. I imagine an ETF to be more convenient...

forums.bluemoon-mcfc.co.uk