- 21st June 2020
- Posted by: Dean Hall
- Category: Newsletters
I hope this update finds you keeping well and returning to some normal activities overall.
Shopping is now back on the cards and the queues to get into the shops was quite amazing to see. The pictures of Bicester Village, Birmingham Primark and Nike in London really shocked me as there was so many more people out on that first day than I ever thought.
I must admit, I stand corrected on this as my feelings where toward a much softer opening and there being a little more caution.
Markets remain bumpy and as we have seen the threat of a second wave is a very real one, with the US and China both reporting spikes in new cases.
I am content with our positioning overall and the values we saw back in the March lows are now a distant memory.
We have seen a good recovery and even with the recent market movements we have held on to this.
We have remained patient and this has really paid off for us. Sticking to the knitting over this time has shown that we should not and will not look to call the markets. We remain invested and measured at all times.
Review meetings are still continuing remotely, and this will be something that I can see being the case for us until two outcomes are achieved. These being no more virus and a vaccine (hopefully).
I could not forgive myself if I was asymptomatic and brought this virus with me to see you. All our health’s and wellbeing can be protected by us staying on this course, so I trust you endorse the view here.
The title of this update relates to Marcus Bank and you may recall I have mentioned these a number of times recently. They have only been in the UK for about 2 years and they have had some market leading rates. We have now seen them close to any new customers.
The British public in lockdown have been doing their homework (unlike the children) and searching for the best rates. This has seen a massive influx of cash to Marcus and they have now hit £25 billion which is their limit. This means only exiting customers can top up so if you have one of these accounts now may well be the time to get the savings consolidated.
As I have said many times before cash deposits is a fast moving market and if you see a deal act as these will not be around for long. Cash is under great pressure to get any returns and I still feel we will be charged to hold cash in the bank in the near future as rates go to 0% or even negative.
I like Marcus the money is fully protected (up to £85,000 per person) and there are no issues with them overall, so if you have a holding there, don’t worry, this has been done with you in mind. It’s a really positive thing to happen.
As with all these updates let’s keep to the facts of the subject matter and the financial world as whole.
I look forward to speaking and eventually seeing you again in person at some point, be this socially distant or back to normal.