Chris Gilchrist


Chris Gilchrist: Specialist advisers will be the winners of the future

One tends to see increasing specialisation in most services. Think of the building industry, for example, where there are specialists in roofs, drains, restoration and so on. In the old pre-RDR days, when advisers were paid by commission, they had little incentive to specialise and most would sell to anyone. Any smattering of specialist knowledge […]


Chris Gilchrist: Buy now while stocks last

Listed equity is shrinking, reducing opportunities for investors Since early 1998, more equity has been withdrawn than added to the US stockmarket each year, while there has been a vast rise in corporate debt. US companies have shrunk their equity through large-scale buy-backs (about to be given another boost by the Trump administration’s favourable tax […]


Chris Gilchrist: ‘Real’ investment will defeat the paper shufflers

The remorseless advance of the passive investment movement (for such it is, complete with creed and prophets) leaves active fund management businesses with a dilemma. In theory, they would prefer to fight and claim that their various styles of active management can and do deliver superior outcomes over the timescales that matter to investors. But […]


Chris Gilchrist: Herds, spreadsheets and fund selection

Behavioural finance boffins have made us more aware of herding, which is argued to be a relic of humanity’s formative years on the African savannah. Many of our hard-wired “rules of thumb” – such as the bird in hand being worth two in the bush – are often a poor guide to the most advantageous […]


Chris Gilchrist: Finding fault with the passive evangelists

Why would you buy an index tracker fund? Because very few active fund managers consistently generate higher returns than a representative market index? That is not – as many passive evangelists think – a slam-dunk proposition. The degree of market efficiency varies from market to market and among sub-sets of stocks within markets over time. […]

Chris Gilchrist: Why can’t we just call a sale a sale?

The provision of advice used to be a business. It involved selling products to clients. Almost all advisers and bank-owned wealth managers used this business model in the 1980s and 1990s. The RDR in 2013 mandated a switch to a model where advisers received ongoing revenues from clients, and they have slowly moved to providing […]