Image source: Getty Images There are only a handful of shares in the FTSE 100 that offers a dividend yield north of 8% and Phoenix Group (LSE: PHNX) is one of them. But exactly how much could an investor turn a £10,000 investment in to? Compounding returns Compounding one’s returns is the secret sauce that can supercharge a portfolio’s returns. As the chart below highlights, reinvesting dividends along the way would more than double one’s money in 10 years. This is significantly more than the £18,600 ‘flat’ return without compounding. Chart generated by author But even this calculation is not…
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Image source: Getty Images With only a few pounds to spare each day, getting into the stock market may not be everyone’s priority. But one of the attractions can be that, while a coffee or pint once consumed is gone forever, money invested in shares could potentially still be building wealth decades from now. Believe it or not, a fiver a day is enough money to start buying shares. In a year, that would add up to over £1,800 to invest. Here are some things to consider when thinking about doing just that. Good investing principles count, whatever the amount…
Image source: Getty Images I like a bargain as much as the next investor. While the FTSE 100 index of leading shares has been going great guns so far this year – it has repeatedly hit new all-time highs – that does not mean all shares within it are doing well. Here are three FTSE 100 shares that have taken a tumble over the past year. Diageo Brewer and distiller Diageo (LSE: DGE) has tumbled 24% over the past year. Ouch! That is despite replacing its chief executive, a move that was presumably intended in part to assuage investor concerns…
For months, the BP (LSE: BP) share price has been inching its way back toward the 500p mark. Since April, the stock’s jumped 28% — a solid rally by most measures. Still, it’s not quite back to full strength, trading 10% below its February high of 472p. The performance has been subdued by stubbornly flat oil prices, but the company’s latest moves could point to renewed growth. What’s been driving the recovery? BP’s been shifting gears in a way that traditionalists will probably welcome. The company’s started funnelling more resources back into oil and gas while scaling back its more…
Image source: Getty Images Artificial intelligence (AI) has been the headline driver of the S&P 500 for several years. Nvidia’s graphics processing units (GPUs) became the essential pick-and-shovel tool powering machine learning, cloud computing, and now generative AI. But 2025 has revealed cracks in the narrative. Nvidia’s performance this year has trailed rivals like AMD, Broadcom, and Super Micro Computer, suggesting investors are starting to question its stretched valuation. As money moves away from overhyped chips, attention is turning to another key cog in the AI machine — digital storage. Every AI query needs to be written somewhere, and those…
Image source: Getty Images In his 2007 letter to Berkshire Hathaway shareholders, Warren Buffett said: “The worst sort of business is one that grows rapidly, requires significant capital to engender the growth, and then earns little or no money.” I think investors can learn a lot from this one simple insight. Growth at all costs In general, a business with the potential to grow over time is a good thing for investors. But investors need to pay attention to what’s involved in achieving that growth. A lot of the time, growth involves heavy investment in equipment or machinery. And this…
Image source: Getty Images A large proportion of over-55s in Britain aren’t investing their money in the stock market. According to research from wealth management platform Stratiphy, only around 23% in this segment of the population have invested money in stocks over the past 12 months (compared to 47% of those aged 18-34). Now obviously, many people aged 55 or over may be thinking about, or already in, retirement. But here’s why not investing in stocks at this age could be problematic. A major risk for everybody When it comes to financial/retirement planning, a major risk we all face today…
Image source: Getty Images I think the FTSE 100 has a number of interesting opportunities for investors looking to earn a second income. But today’s dividends are just one part of the picture. For investors, what matters is not only how much cash a company returns to its shareholders now, but whether or not this can increase over time. And Unilever (LSE:ULVR) is worth paying attention to. Consumer staples On the face of it, Unilever operates in a pretty unattractive industry. Barriers to entry are relatively low, which creates risk and opportunities for growth tend to be limited. The company,…
In this very special edition of “Friday Video,” our Streetfilms colleague Clarence Eckerson is joined by Patrick Murphy of the Youtube channel “Oh the Urbanity!” for an exhilarating tour of Montreal.As Eckerson has long advised, “Why go to Europe when best-practice streets are so much closer in Montreal?” And he’s right; the so-called “City of a Hundred Steeples” really has it all.The city’s Réseau express vélo (the REV!) grows by the year. Dramatic traffic calming and daylighting make the city’s neighborhoods even nicer. Designs are innovative and cool. Streets around schools are safe. And Montreal is home to so many…
Image source: Getty Images Having an extra £1,000 each month as part of a retirement income can make an enormous difference. It’s enough to double the current full UK State Pension, bringing a pensioner’s total passive income to just shy of £24,000. That’s more than sufficient to exceed the minimum living requirements, putting someone on track to enjoy a more moderate retirement – including holidays, eating out, buying gifts, as well as covering the weekly shopping. At least, that’s what the Pensions and Lifetime Savings Association has estimated. But how much money is needed inside an ISA to generate these…