Press comment: What the Tory majority means for investments and pensions


Following Boris Johnson and the Conservative party winning the General Election with a majority, please find below commentary from Stuart Clark, portfolio manager at Quilter Investors, and Jon Greer, head of retirement policy at Quilter, discussing what it means for investments and personal finances:

Stuart Clark, portfolio manager at Quilter Investors, comments:

“The Conservatives have achieved their aim and have won a sizeable majority in parliament.  As a result we have seen an immediate repricing of GBP reflecting this result and would expect this to follow through into the more domestically oriented parts of the market.

“This new found confidence could quickly fade, though, with the realisation that the Prime Minister has an enormous amount of work to do to ensure the UK does not inadvertently leave without a deal before the end of the transition period, which is currently slated for the end of 2020. It remains to be seen whether Mr Johnson is committed to that date and a ‘hard Brexit’, or whether the strength of this victory allows him to step back from the harder right and negotiate a closer working relationship with the EU.

“This trade deal negotiation process does seem to be a risk that is currently ignored by markets, instead deciding to focus on the short-term, looming Brexit deadline.

“The combination of this result and the potential delay to further tariff increases between the US and China leaves a positive environment for riskier assets in the immediate term but Investors need to make sure they are positioning themselves for further volatility to enter the UK and global markets through 2020”

Jon Greer, head of retirement policy at Quilter, says:

“With the latest general election regular parliamentary process yet again came to a grinding halt. With the Conservatives finally securing a majority, we need the Government to snap into action and deliver on some long awaited promises. The Pensions Bill, which includes the pension dashboard, was finally going to get the last seal of approval before the election, meanwhile most people have given up on the social care green paper as a lost cause.

“With the political posturing over hopefully these policy areas will get the attention they deserve. And with a Queen’s Speech just a week away we could get clarity sooner rather than later. However, the dreaded B word will likely mean we still have some time to wait for any meaningful change.”

 

Notes to Editors:

About Quilter plc:

Quilter Investors is part of Quilter plc. It provides multi-asset investment solutions designed for advised clients in the UK and internationally and manages £20.3 billion on behalf of its investors (as at 30 September 2019).

Quilter plc is a leading wealth management business in the UK and internationally, helping to create prosperity for the generations of today and tomorrow.

Quilter plc oversees £118.7 billion in investments (as at 30 September 2019).

It has an adviser and customer offering spanning: financial advice; investment platforms; multi-asset investment solutions; and discretionary fund management.

The business is comprised of two segments: Advice and Wealth Management and Wealth Platforms.

Advice and Wealth Management encompasses the financial advice business, Quilter Financial Planning; the discretionary fund management business, Quilter Cheviot; and Quilter Investors, the Multi-asset investment solutions business.

Wealth Platforms includes Old Mutual Wealth UK platform; Old Mutual International, including AAM Advisory in Singapore; and the Old Mutual Wealth Heritage life assurance business.

The Quilter plc businesses are being re-branded as follows: 

  • Quilter Financial Planning (previously Intrinsic)
  • Quilter Private Client Advisers (previously Old Mutual Wealth Private Client Advisers)
  • Charles Derby Group (becoming Quilter Financial Advisers)
  • Quilter Financial Adviser School
  • Quilter Cheviot
  • Quilter Investors
  • Old Mutual Wealth (becoming Quilter Wealth Solutions in 2020)
  • Old Mutual International (becoming Quilter International in 2020)

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This communication is issued by Quilter Investors Limited (“Quilter Investors”), Millennium Bridge House, 2 Lambeth Hill, London, United Kingdom, EC4V 4AJ. Quilter Investors is registered in England and Wales (number: 04227837) and is authorised and regulated by the Financial Conduct Authority (FRN: 208543).

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