SCM Direct

IMF warns of 'perilous' path ahead as fragile banking system threatens the world economy
https://www.thisismoney.co.uk/money/markets/article-11962123/IMF-warns-perilous-path-ahead-world-economy.html
via This is Money

IMF warns of 'perilous' path ahead for the world economy The collapse of Credit Suisse and US lenders including SVB has already darkened the outlook at a time of sky-high inflation and rising interest rates.

Research from SCM Direct CIO, Alan Miller, found the overall cost for 10,000s of investors switching to proper green ESG fund could be £600+ million – and is adamant that investment groups guilty of fund mislabelling should pick up the tab.

"Consumers thought they were holding a green fund. If they are now being told that is not the case, they should not have to pay the cost of switching to an alternative fund that is deemed green by the FCA. If you buy a new electric car which turns out to be oil-powered, you would expect to be switched free of charge" (Alan Miller, SCM Direct)

Read full article via This is Money:
https://www.thisismoney.co.uk/money/investing/article-11819997/Who-pays-600m-bill-switching-new-funds-really-green.html

Who pays £600m bill for switching to new funds that really are green? New regulations could result in hundreds of green investment funds being declassified as the regulator clamps down on greenwashing.

‘Are you paying too much for your investments?’ asks MoneyWeek
https://moneyweek.com/flat-fee-versus-percentage-fees

In our latest research quoted in The Times and The Sunday Times we exposed the scandal of high fees & low returns:
https://www.thetimes.co.uk/article/high-fees-and-poor-returns-are-these-funds-a-rip-off-hdqqt23ns

At SCM Direct we know that even 1% can make a massive impact on returns due to compounding.
https://scmdirect.com/investment-fees/

*Capital at Risk*

High fees and poor returns: are these funds a rip-off? The most expensive investment funds charge almost seven times more than the average, often resulting in dire returns. Can their high fees ever be justified?

We've been calling out rip-off fund fees since 2009.

It's very disappointing that our latest research shows that investors are still suffering from a toxic combination of high fees and low performance in active funds!

“Looking at the high cost of many of the funds, surely they are all failing their consumers. How on earth can fund managers justify the toxic combination of high fees and atrocious performance? It’s clear that investors continue to be ripped off by high fees and low returns.” - Alan Miller, Chief Investment Officer, SCM Direct

Read full article via The Times and The Sunday Times:
https://www.thetimes.co.uk/article/high-fees-and-poor-returns-are-these-funds-a-rip-off-hdqqt23ns