QROPS 9th November 2011 pension drawdown QROPS and QNUPS

At Gerard Associates Ltd we continue our daily look at factors affecting markets and currencies allowing some insight into conditions affecting exchange rates.

Cash and income timing from a UK Pension income drawdown, flexible pensions or QROPS (Qualifying Recognised Overseas Pension Scheme) should be considered to maximise the Pension drawdown, QROPS and investment income taken.

Investment market volatility and currency exchange remains a challenge. The global economics are volatile and unprecedented in history. Currency exchange continues to concern expats with UK Pensions, income drawdown now including flexible pensions, a QROPS and QNUPS (Qualifying non UK Pension schemes).

IN THE UK

• Manufacturing production in the UK rose more than expected in September, rising for the first time in three months, official data showed. It showed to have risen by 0.2% in September, slightly higher than forecasts for a 0.1% rise.
• UK RICS house price balance came in at -24 versus -23 in September and beat expectations of -23, showing an increase in the number of houses sold, potentially sparking some growing realism among sellers as they are more willing to take offers to secure sales.
• Sterling managed to jump to a high of 1.1689 against the euro yesterday and 1.6119 against the US dollar.

ELSEWHERE

• All eyes on Europe yesterday, Italian Prime Minister Silvio Berlusconi failed to win an absolute majority and has agreed to resign, although this will be delayed until after the approval of the austerity plans which is scheduled for November 15.
• This news is alongside recent activity over in Greece which is expected to see the resignation of Prime Minister George Papandreou and the announcement of a new coalition government. Such rapid political changes will surely increase uncertainty over whether the euro area leadership will continue to foster enough of a consensus to keep muddling through the sovereign crisis.
• A quiet day yesterday in America saw the USD under modest pressure, especially against the JPY.
• EUR/USD hit a high of 1.3846 and a low of 1.3724. Risk certainly seems to be switched “on” in spite of the considerable uncertainty in Europe. The FX market and the S&P currently both suggest that the market is actually responding and trading in a very risk positive way, although this can be derailed by risk negative news.
• In Canada, housing starts fell less than expected in October, coming out at 208,000 units in October, beating expectation for a decline to 200,000 units. 

DATA TO LOOK OUT FOR (all times GMT)

• 1.30pm will see the CAD NHPI, which measures the housing industry’s health. Will it show a rising house price which in turn attracts investors and spur industry activity…??
• 1530pm, Ben Bernanke is making a speech on Small Businesses. Will he give a hawkish tone, is the question traders want to know.
• Crude Oil Inventories due out at 3.30pm in the US. This influences the price of petroleum products which affects inflation but also impacts growth as many industries rely on oil to produce goods.
• 9.30pm  New Zealand will have its RBNZ Financial Stability Report, which will provide insights into the banks’ view of inflation, growth and other economic conditions that will affect interest rates in the future.

Gerard Associates Ltd advises UK residents, expats and people considering living abroad on the technical and currency options available for Pensions, pension income drawdown, flexible pensions, QROPS, QNUPS and investments in a clear format allowing all customers to make an informed choice. Our service encompasses Pension including QROPS and QNUPS and investments in a clear format allowing all customers to make an informed choice.

This with the reassurance and security of UK FSA authorised and regulated advice - essential for your security.