The Bank of England’s Monetary Policy Committee (MPC) has voted to increase its Official Bank Rate to 1.00% - their highest rate since 2009. The Bank’s move represented its fourth consecutive rate hike since December – the fastest increase in borrowing costs in 25 years.
Here you will find our latest news, research, views on the global economy and insights into our investment philosophy.
This week, Cambridge Innovation Capital closed its second venture capital fund, CIC Fund II for £225 million. Cambridge Innovation Capital is focused on building world-leading deep technology and life sciences businesses connected with the Cambridge ecosystem, one of the fastest growing science and technology innovation ecosystems in the world.
A new High Court judgement has ruled on trustees’ ability to align their investments with their charities’ values. The judgment has clarified that trustees 'need to' undertake a balancing exercise between maximising their returns and avoiding investments that could contradict their aims. We believe that this ruling should make trustees more confident in their ability to align their investments with their charitable missions. However, we do not believe that they necessarily have to sacrifice returns to achieve this.
The distressing news from Ukraine shows no signs of abating. In response to unpredictable and worrying geo-political developments, investment markets have continued to be volatile with widespread declines in portfolio values. As at 8 March 2022, for example, the US equity market had fallen by -6.9% in the course of a month; the UK’s FTSE 100 was down by -7.7% and the Euro Stoxx 50 index had lost -14.4%.
2022 is an important anniversary for the Bank of England (BoE). It represents 25 years since the Blair government gave it operational independence over monetary policy and the ability to set interest rates. One of the BoE’s main objectives is to ensure stability by setting monetary policy to achieve the Government’s target of keeping inflation at 2%.
After weeks of building tension and diplomatic pressure, Vladimir Putin has initiated a full-scale invasion of Ukraine. At the moment, the West’s reaction appears limited to economic sanctions rather than a military response and so long as Russia’s attacks do not extend into Nato countries we can hope that descent into a wider conflict can be avoided.
'I’m going to say this very bluntly again. Buy them only if you’re prepared to lose all your money,’ says Bank of England Governor Andrew Bailey when asked about the rising value of cryptocurrencies.
The Bank of England’s Official Rate, often described as the Base Rate is presently 0.1%. The yield on government securities with two years to maturity was 0.04% at the close of business on Thursday, and with ten years to maturity was 0.73%. 
After the dramatic events of last year, 2021 has continued in exuberant fashion for equity markets with the MSCI World Index already up 5% year to date. Headlines have been dominated by the extraordinary tussle between retail investors and hedge funds in stocks such as GameStop, the meteoric rise of Tesla, up eightfold in 2020 and now trading on a consensus price earnings multiple of 197x and
Having supported the original report in 2013, we have again assisted the EIRIS Foundation in creating an overview of the responsible investment policies adopted by charity specialist funds. The report outlines the policies of charity-specific pooled funds in the UK, representing approximately £19.4 billion of charity investments.
Amid the events of 2020, a further reduction in the interest on your savings at the bank, building society or National Savings and Investments (NS&I) may well have gone unnoticed. Initially, at least.
Winston Churchill once said “Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning”. The future relationship between the UK and the EU is considered by our investment team.
We are concerned by the disproportionate impact COVID-19 has had on the poorest members of our society. All children have the right to access nutritious diets to support healthy development. Our letter to Compass group is on behalf of a coalition of investors.
CCLA’s response to the Charity Commission’s consultation
In March 2019, a group of charities wrote to the Charity Commission seeking ‘urgent clarification’ on the extent to which their investments should align with their charitable objectives.
Every investor knows that participating in markets brings with it a degree of risk. Asset prices rise and fall each day and we know to expect a serious downturn every so often.
There are two unique forces that make the current market crisis unique:
CCLA initiated its mental health engagement programme in early 2019. Since then, the Covid-19 crisis has swept across the globe, lending a greater level of urgency to the campaign. A combination of obligatory remote working, social isolation, quarantine, bereavement and pending recession will have unprecedented mental health consequences for a great number of people. This is a unique time for workplace mental health, with no historical parallel from which to learn.