They used to say that the VERY VERY safest investment was index linked bonds paying 3% above inflation for ever and ever. Known as “Linkers.”
This year since end of November 21 index linkers generally lost 40%, whereas bitcoin lost 60% and IWDG – world equities hedged to sterling– lost 20%.
You could say, that when it comes to investment orthodoxy, no one knows anything.
And that is not a bad place for IFAs to start a conversation on investments. Because in the long term, performances will revert to normality, with equities outperforming fixed interest (which includes property) and cash, by considerable margins.
The graph above is not index linker prices, but Bitcoin.
The war loan image is sourced with thanks to the Bank of England. see here