IG vs Plus500 CFD comparison
Both IG and Plus500 are leading brokers for CFDs. They both have some handy tools to give you the information you need to trade contracts for difference.
Read more…Updated
2020 has been a tumultuous year for investors and there could be more volatility in store before the year ends. Many retail investors are wondering how the markets, specific industries and assets will react to the major events of 2020 such as the US presidential election, Brexit and the coronavirus pandemic.
To help get some thoughts on these issues, we brought together a global panel of 33 investing experts, to give a range of thoughts and predictions on markets and assets around the world.
Name | Organisation | Job title |
---|---|---|
Ahkter Bin Abdul Manan | MNRB Holdings Bhd | GCIO |
Alistair Schultz | ACY Securities | Chief market analyst |
Peter Cziraki | University of Toronto | Assistant professor |
James Gauthier | Justwealth Financial Inc. | Chief investment officer |
Daniel J Deming | KKM Financial, LLC | Managing director |
Suzanne Gaboury | Suzanne Gaboury | Chief investment officer |
Sandip Sabharwal | ASKSANDIPSABHARWAL.COM | Owner |
Nitin Dialdas | MDN Capital Ventures Limited | Director |
Steven Adang | Anchor Pacific Investment Management Corp. | Chief investment officer |
Petri Redelinghuys | Herenya Capital Advisors | Founder/director |
Nikhil Kamath | True Beacon | CIO |
Kyle Rodda | IG Australia | Market analyst |
Jemmy Paul | Sucorinvest asset management | CEO |
Dr Alexander Tziamalis | Sheffield Hallam University | Senior lecturer in Economics |
Julia Wilkinson | imvest | CEO |
Francis Marais | Glacier | Head of research |
Sean Sanders | Revix | CEO |
Simon Brown | JustOneLap | Founder |
Stephen Innes | Axi | Global chief markets strategist |
Mazhar Mohammad | Chartviewindia.in | Founder |
Lindsey Bell | Ally Invest | Chief investment strategist |
Marie-Josee Privyk | Novisto | Head of ESG innovation and customer success |
Jessica Amir | Bell Direct | Market analyst |
Derek Mok | Fubon | CIO |
Moses Ojo | PanAfrican Capital Holdings Limited | Chief economist/head, investment research |
Karl Schmedders | IMD Lausanne | Associate professor (Finance) |
Adrian Hia | Kairous Capital | Investment director |
Pierce Crosby | TradingView, Inc. | General manager |
Trevor Lee | Rosebank Wealth Management | Investment specialist |
Lee Smales | University of Western Australia | Associate professor (Accounting and Finance) |
Petrus Koekemoer | Coronation Fund Managers | Head of personal investments |
Craig Turton | EasyEquities | VP wealth |
Danielle Shay | Simpler Trading | Director of options |
With share trading and investing apps (e.g. Trading 212, eToro, Hargreaves Lansdown etc) seeing an explosion in popularity in the UK, we asked our panel if apps will become the main investment channel for retail investors, and if so, when that will be.
The majority of the panel (59%) expects apps to dominate the retail investor market although some panellists think they will be adopted faster than others. 16% think it will take apps a decade to dominate, 41% think it will take 5 years and just 3% think it will happen in less than 12 months.
I believe the future of retail investing is bright. The trend to democratize the investing will continue, giving the retail investor more opportunities to participate in an educated way.”
When asked what type of asset shows the most promise for investors for the remainder of 2020, stocks were the unanimous pick, with almost two-thirds (63%) of the panel choosing this. Gold was the second most popular option, with 17% of the panel going for this. Despite Bitcoin’s current surge, cryptocurrency was only chosen by 7%, as was cash and bonds.
The FTSE is still significantly down on the year, but the upside of this is that the panel believes there is more room for it to grow than the US markets in 2020. The panel’s average price prediction for the end of 2020 is 5,872, which would be an increase of 5% from the price at the end of October.
The US markets are still expected to rise though, albeit by a smaller amount. Despite already being above pre-pandemic levels, the panel predicts the S&P 500 and the Nasdaq to hit 3,393 and 11,137 respectively, which would be an increase of 3.73% and 1.94%.
They did sound a note of caution though:
Stimulus has acted as a drug to the stock markets. However, once the stimulus measures are eased, the rehab process will be very painful.”
It has been a particularly tough year for airlines and finder.com’s panel of experts doesn’t see this changing any time soon. When asked if it was a good time to buy airline stocks, 3 in 5 said no (61%), although 39% think it is a good time.
The picture on oil shares is a bit more opaque. While a quarter of the panel (26%) predict that share prices will sink lower, 10% think they will rise from current levels. The majority of the panel (61%) believe that prices will remain at current levels for the rest of 2020.
Response | % of panellists |
---|---|
Continue downward | 10% |
Rebound | 26% |
Remain at current level | 61% |
Unsure | 3% |
An overwhelming majority of the panel (63%) think that gold prices will hold at their current level of around US$1,800/oz until the end of the year. However, almost a third (30%) predict a sharp rise in the price of gold before the clocks tick over to 2021, expecting gold prices to rise by about 39% to be worth around US$2,500/oz. A further 4% think prices could reach around US$3,000/oz before the year is out. Only one panellist thought it would drop significantly, to $1,500.
Inflation is going higher, which the Fed has noted is acceptable. Additionally, the dollar is going lower. Where else can investors put their cash? Gold (and real estate) are the obvious choices for investors to put their cash to fight inflation and a falling dollar.”
The US election result is still in the balance and the panel was also split on which president would be better for the global economy. Two-thirds of the panel (65%) said Biden, although the remaining third (35%) thought Donald Trump. The result will no doubt have a big impact on the markets, but James Gauthier, chief investment officer at Justwealth Financial Inc. sounded a note of caution that “While stimulus and the election are seeming to have a greater impact currently on the US stock market, neither factor will matter if the COVID-19 problem is not solved.”
Heranya Capital Advisors founder Petri Redelinghuys said the markets could react poorly if Trump loses outright.
“I personally do not think that Trump is going to be a force for good in the world, but I do think that the market will react very poorly if either he loses outright or the election is contested. Thus, I suppose, Trump is good for markets,” he said.
Glacier head of research Francis Marais thinks that in the short term, Trump would be the better option for global markets. However, he notes that there are other factors we need to consider that may not be addressed if Trump takes the seat yet again, such as environmental, social, political and trade risks.
Meanwhile, Bell Direct market analyst Jessica Amir thinks a Biden win could result in some economic bumps.
“…the Democratic party will look to further the healthcare reform following on from Obamacare. This is likely to be detrimental to US healthcare stocks, as the focus will be on providing public health care and moving people to the government payment option. The move away from commercial/private health care will reduce the profitability of the private sector,” she said.
However, Amir notes that the concern surrounding the US elections are not focused on who will win the presidential race. Rather, the outcome of the markets depends on who will win the senate and what legislations they will enact.
“There are risks around the upcoming US election, and with European COVID-19 cases spiking. But this appears manageable, given the momentum behind economic growth and knowing that economic cycles drive markets, not elections,” she said.
Both IG and Plus500 are leading brokers for CFDs. They both have some handy tools to give you the information you need to trade contracts for difference.
Read more…IG and eToro both let you buy and sell stocks, exchange traded funds (ETFs), cryptocurrencies, commodities and currencies. Which one you choose to go with will depend on which features you are looking for.
Read more…Find out more about the Nikkei 225, some companies that make it up and how you can invest in the Nikkei 225.
Read more…Find out about the Euronext stock exchange, how it works, some companies listed on it and how to invest in Euronext ETFs and shares
Read more…Find the cheapest and easiest ways to invest in Asia’s oldest stock exchange.
Read more…Learn more about Transportation and Logistics Systems’ recent performance and where you can invest in Transportation and Logistics Systems shares. We also run through some helpful rules of thumb for any investor.
Read more…Airbnb has fluffed up up the cushions, wiped down the surfaces and opened its doors to public investors. Find out how to invest in Airbnb.
See if dividend yields have risen in the UK over the past few years, how much the coronavirus pandemic has affected them and which companies have the highest annual yields.
Finder speaks with investment experts from around the world about what investing looks like in a post-COVID-19 world.
If the negative trend in UK’s GDP continues, it means it would take just over 5 years to recover from the recent GDP fall to -10.4%.
In a nutshell, an index fund is a low-cost portfolio of shares and other assets that tracks a financial or stock market index. They’re a pretty popular choice in investing.
Learn where to invest in oil, about oil’s historical performance as an investment and the risks that come with it.
What is the best investment in 2020? See how different types of investments have performed so far this year and learn more about them.
Want to find out how the iPhone has fared in the UK over the past year? Read on for juicy sales figures, market share, spending and more.
This year’s research showed that around 14 million Brits have a digital-only bank account, and this number could almost double over the next 5 years.
Valued at £3.5 billion and having secured a total funding of £683 million, the Fintech startup has ambitious goals and it is time for you to jump onto the N26 bandwagon.