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What is the culture like, type of work and reputation of Capco in the Data & Analytics space?
I have some good ex colleagues who moved over there and also looked up on LinkedIn and see lots of seemingly smart and accomplished people in their D&A team in the UK.
I'll ask my ex colleagues too, but wanted to see if people here have any opinion or information on this too.
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Leverage absolutely sweetens returns.
Price growth was phenomenal in property with lots of tax deductible and cash out opportunities. Now, prices have stalled, rates are higher and policies are punitive for landlords its more difficult to make money.
Long story short, I have BTLs that do gross >10% but preference now would be to max a S&S ISA before contemplating property
£20k for you and £20k for your partner (if applicable) may be peanuts to you but that growth in a S&S ISA is not to be sniffed at. The only concern would be this government going for high ISA balances but this is not on the table in the short term
Depends on the property. It's not unheard of to get 10% return before appreciation, which could add another 5%.
But yes, I don't understand why people would start with buy to let before having accumulated significant return from an ETF. But once you have a good foundation, it's good to try multiple earnings streams.
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I suppose if you buy somewhere where there can be significant value add done to increase price / rental income then it could make sense? Even so, sounds like medium to high operational effort
perceived impact on status
Because in 2008 and prior the stock markets used to collapse when there was a recession - property viewed as more stable
also leads to less risky access to leverage to gear returns
Here are the reasons I had come up with wondering the sake question: (note I don’t think they are good reason, I myself have no property and all in ETFs)
1.People feel safer touching stones than a few lines on a websites.
2.They also enjoy the « steady income » which gives a sense of additional income.
3.They feel that if things crash they will at least have a place to sleep in.
4. Status. You can discuss more easily what you own as property (easier to say I rent a whole building than I own £400,000 in S&P 500)
Depends on your circumstances, but if you have:
-Other investments / an emergency fund
-No need for liquidity in the coming few years
-No kids
-Counter-cyclical job (e.g. Rx)
Then yes, having a very high portion of equity ETFs makes sense