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Market Comment - December '14

December 2014

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

The most thoughtful market commentators are more often than not value investors. For the last couple of years these guys have been increasingly frustrated and vocal telling us that conventional analysis is now pointless when the prices of assets are driven by the whim of central banks and valuations (primarily in the US) are dangerously extreme.If you are a value investor this leaves you few places to hide. There is always cash (which should never be underestimated, even at 0% interest rates) or the few “value” stocks that continue to lag the market.From early 2014 one veteran analyst acknowledged that the market was overheated but still felt that a bubble lay ahead. This was Jeremy Grantham. He defines a bubble i ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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