INDEX LINKERS – THE TRADITIONAL ULTRA SAFE BET.

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. 

https://blockchair.com/bitcoin

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