The Art of Investing

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📈 Download the full Portfolio Performance Slides
View the portfolio breakdown here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
🎧 Listen on:  Apple, Spotify, YouTube 

This week on The Art of Investing, it’s a special episode dedicated to your questions.

With the team preparing for their first live show at Lord’s Cricket Ground, Rich McDonald, Mark 'Spice' Holden and Chris 'CJ' Fellingham turn their attention to some of the biggest investing questions sent in by listeners.

First up, CJ takes us to France, where political uncertainty and rising borrowing costs are putting pressure on European bond markets. Could the European Central Bank eventually be forced to intervene, and what does it all mean for European equities?

Then it’s over to Spice for a deep dive into Nike. After another profit warning, the team explain trough earnings, price-to-earnings ratios and the difficult art of spotting a corporate turnaround. They also explore the opposite problem: what happens when investors are paying for earnings that might already be at their peak?

The team also tackle a question about individual UK gilts versus gilt ETFs, exploring the differences in maturity, price movements, transaction costs and tax treatment.
And finally, the team lift the lid on the model portfolio, explaining how its weightings work, why they don’t automatically rebalance every position and how the performance figures are calculated.

This Week’s Highlights:

🇫🇷 Is France Becoming Europe’s Biggest Bond Market Problem?
CJ explores France’s debt troubles, rising bond yields and whether the ECB might need to intervene.
👟 Nike: Is the Worst Finally Over?
After another profit warning, Spice explains trough earnings, potential turnarounds and why value investing is harder than it looks.
📊 Trough Earnings vs Peak Earnings
Why might a stock trading on 25 times earnings be cheaper than one on seven times? The team examine P/E ratios, AI stocks and the risks of peak profits.

💰 Individual Gilts vs Bond ETFs
CJ explains the differences in maturity, costs and tax treatment when investing in UK government bonds.
📈 Record Highs, Rising Yields and Weak Jobs Data
US equities continue climbing despite higher borrowing costs and a slowing jobs market. Meanwhile, Japan and emerging markets lead the portfolio.
Portfolio Snapshot – Week 60:
📊 Weekly portfolio performance: +0.6%
📈 Total return since inception: +25.5%
📅 2026 year-to-date return: +13.0%

Top Performers:
📈 iShares Nikkei 225 ETF: +3.5%
📈 iShares Core MSCI EM IMI ETC: +3.1%
📈 Invesco EQQQ Nasdaq 100 UCITS ETF: +1.7%

Underperformers:
📉 BlackRock World Mining Trust PLC: -1.9%
📉 Vanguard FTSE 250: -1.8%
📉 Invesco Stoxx Euro 600 UCITS ETF GBP: -1.1%
📉 iShares Core FTSE 100 ETF: -1.0%

Portfolio Changes:

No portfolio changes this week.
The team maintains its 13 holdings, including 17.5% cash, 5% Nasdaq and 2.5% gold.
CJ also explains how the educational model portfolio tracks target weightings and why it doesn’t automatically adjust for market movements or dividends.
Big Questions This Week:
Is France becoming Europe’s biggest bond market risk?
Can US stocks keep rising despite higher borrowing costs?
Should investors choose individual gilts or gilt ETFs?
Is Nike approaching trough earnings?
Are AI stocks heading towards peak earnings?
How does the model portfolio actually work?

What You’ll Learn:
✔️ Why France’s debt troubles matter for investors
✔️ The differences between individual gilts and gilt ETFs
✔️ How to recognise trough and peak earnings
✔️ Why P/E ratios can be misleading
✔️ How growth and value investors approach struggling stocks
✔️ How the team calculates model portfolio performance
Disclaimer:
This podcast is provided for educational and informational purposes only. The content presented is not intended as personal investment advice or a recommendation to buy, sell, or hold any particular securities or investments. All discussions regarding the model portfolio are illustrative and for educational purposes.
Your capital is at risk. The value of shares, ETFs and ETCs can fall as well as rise, which could mean getting back less than you originally put in.

🏆 Vote for The Art of Investing in the FinFluencer Awards!
The Art of Investing has been nominated in the Best Economist Influencer category at the FinFluencer Awards.

You can cast your vote using the link below:
https://www.finfluencer.digital/awards/uk/vote 
🏏 The Art of Investing LIVE at Lord’s Cricket Ground
If you’ve registered to join us at Lord’s on 13th October, keep an eye on your inbox!
📈 Download the full Portfolio Performance Slides
View the portfolio breakdown: here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
🎧 Listen on:  Apple, Spotify, YouTube 

This week on The Art of Investing, it’s time for the big end-of-quarter portfolio review.
With bond yields continuing to rise and markets becoming increasingly divided beneath the surface, Rich, Mark and Chris ask whether the investment environment is beginning to fundamentally change, and what that could mean for the portfolio over the final three months of the year.
CJ sets out three possible scenarios for markets: a continued surge in bond yields that ultimately leads towards recession; an AI-driven productivity boom that brings greater disinflationary pressure; or a continuation of the volatile environment investors are navigating today.
The team debate which scenario they think is most likely, whether it’s finally getting close to the time to buy longer-dated bonds, and whether AI can continue driving markets even as the cost of capital rises.
And after another difficult week for India, the investment committee finally loses patience, selling the position completely and reallocating the capital into the Nasdaq 100 and gold.

This Week’s Highlights:
📉 Are Bond Markets Reaching Breaking Point?
Bond yields continue to climb, forcing the team to ask how far they can rise before equity markets and the wider economy begin to feel the pressure.

🐻 Three Scenarios for the Next Three Months
CJ lays out three potential paths for markets: rising yields eventually triggering a recession, AI creating a powerful disinflationary environment, or markets continuing to grind through the current volatility.
🤖 Can AI Keep Defying Higher Rates?
Strong results from Micron reignite the AI debate. Mark argues that productivity gains could arrive faster than expected, while the team questions how long technology companies can remain insulated from higher borrowing costs.

💰 Is It Finally Time to Buy Bonds?
With long-dated yields moving higher, the team debates whether bonds are becoming attractive again – or whether investors could get an even better opportunity by waiting.
🥇 Gold Comes Back Into the Portfolio
After discussing gold for several weeks, the investment committee finally takes the plunge, adding a new allocation as part of its end-of-quarter portfolio changes.
🇮🇳 The Team Calls Time on India
India has been one of the portfolio’s most difficult positions. With the holding down again this week and remaining negative since inception, the team debates its outlook before deciding to exit completely.
Portfolio Snapshot - Week 59:
📊 Weekly portfolio performance: -0.5%
📈 Total return since inception: +25.0%
📅 2026 year-to-date return: +12.5%
Top Performers:
📈 iShares Nikkei 225 ETF: +3.0%
📈 Vanguard FTSE 250: +0.6%
📈 Invesco EQQQ Nasdaq 100 UCITS ETF: +0.3%
Underperformers:
📉 iShares MSCI India ETF: -3.8%
📉 BlackRock World Mining Trust PLC: -3.1%
📉 WisdomTree Copper ETF: -2.3%
Portfolio Changes:
The investment committee decides to sell the portfolio’s entire 5% India position after another difficult week for the holding.
The proceeds are split between two areas:
📈 +2.5% Nasdaq 100 - increasing the allocation from 2.5% to 5%.
🥇 +2.5% Gold - introducing a new direct gold allocation to the portfolio.
Big Questions This Week:
How high can bond yields go before something breaks?
Is the global economy moving towards recession or another period of strong growth?
Could AI become a major disinflationary force?
Can technology stocks continue performing as borrowing costs rise?
Is it finally time to start buying longer-dated bonds?
What happens if unemployment begins to rise?
Has India become too difficult to justify in the portfolio?
Is gold becoming more attractive as uncertainty increases?
Where should investors be positioned heading into the final quarter of the year?
Disclaimer:
This podcast is provided for educational and informational purposes only. The content presented is not intended as personal investment advice or a recommendation to buy, sell, or hold any particular securities or investments. All discussions regarding the model portfolio are illustrative and for educational purposes.
Your capital is at risk. The value of shares, ETFs and ETCs can fall as well as rise, which could mean getting back less than you originally put in.

🎟️ Join The Art of Investing LIVE at Lord’s Cricket Ground!

Join Rich, Mark and Chris in the Long Room at Lord’s Cricket Ground on 13th October from 6:30pm for a special live edition of The Art of Investing, with special guests, prizes and more.
The event is completely free – sign up here:
https://www.ig.com/uk/the-art-of-investing-live

📈 Download the full Portfolio Performance Slides
View the portfolio breakdown: here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
🎧 Listen on:  Apple, Spotify, YouTube 

This week on The Art of Investing, Rich, Mark and Chris are joined by resident strategist Stewie Thompson to unpack a huge few days for global markets.

After three major central bank decisions, attention has quickly shifted back to inflation, interest rates and the bond market. Stronger-than-expected US economic data has pushed bond yields higher again and raised a big question for investors: how high can rates go before they start pulling money away from equities and other risk assets?

The team looks at what’s happening across US Treasuries, UK gilts and Japanese bonds, why the “competition for capital” matters, and whether central banks risk falling behind the curve.
There’s also plenty happening away from bonds. Oil has fallen sharply, the Nasdaq 100 and copper have pushed higher, AI continues to drive some extraordinary moves across technology stocks, and the US dollar has strengthened.
And after a strong week for the model portfolio, the team debates whether now is the moment to bank some profits and increase the amount of cash on the sidelines. 
This Week’s Highlights
📈 Why Bond Yields Are Back in Focus
Strong US economic data sends bond yields higher and forces markets to reassess how far interest rates may still need to rise.
💰 The Competition for Capital
Stewie explains one of the biggest themes facing markets: if investors can earn increasingly attractive returns from government bonds, what happens to demand for riskier assets?
🤖 AI Keeps Driving Markets
The team discusses another strong period for technology stocks, with AI investment and demand helping drive moves across Nvidia, Intel, AMD, Micron and the wider Nasdaq.
🧠 The Rise of AI Agents
The team looks at the potential impact of AI agents on everything from banking and insurance to travel and online shopping, and why the technology could create a new battle for consumers.

🛢️ Oil Falls, Markets Rally
A sharp fall in oil prices provides some relief to markets and helps support areas including emerging markets and commodities.
💵 The Dollar Strengthens
The US dollar pushes higher as stronger economic data attracts capital back towards the US and challenges expectations around the path for interest rates.
Portfolio Snapshot - Week 58:
📊 Weekly portfolio performance: +2.2%
📈 Total return since inception: +25.5%
📅 2026 year-to-date return: +13.0%
Top Performers:
📈 WisdomTree Copper ETF: +8.1%
📈 Invesco EQQQ Nasdaq 100 UCITS ETF: +6.4%
📈 iShares Core MSCI EM IMI ETC: +4.3%
📈 iShares Nikkei 225 ETF: +3.8%
Underperformers:
📉 iShares Russell 2000 ETF: -1.0%
📉 Cash: +0.1%
📉 iShares UK Gilts 0–5yr ETF: +0.2%
Portfolio Changes
After a strong run for several of the portfolio’s positions, the team debates whether rising bond yields and the changing interest-rate outlook mean it’s time to take some risk off the table.
Japan comes under particular scrutiny following another strong week, with the position now up nearly 50% since inception.
The team ultimately decides to trim the Japan allocation by 2.5%, reducing it from 12.5% to 10%, and move the proceeds into cash.

That takes the portfolio’s combined allocation to cash and short-dated gilts to 20%, giving the team more dry powder while they watch what happens next across rates, bonds and global equity markets. 

Big Questions This Week:
How high could bond yields go from here?
Are central banks at risk of falling behind the curve on inflation?
What does the “competition for capital” mean for equity investors?
Can technology and AI stocks keep performing if borrowing costs continue to rise?
Is the recent strength in the US dollar telling investors something about where global capital is moving?
After a strong run, is now the time to take some profits and hold more cash?
Can copper continue to benefit from the AI and infrastructure boom?
What You’ll Learn:
✔️ Why stronger economic data can push bond yields higher
✔️ How interest-rate expectations feed through into government bond markets
✔️ What investors mean by the “competition for capital”
✔️ Why higher bond yields can put pressure on riskier assets
✔️ How falling oil prices can affect commodities and emerging markets
✔️ Why AI investment continues to influence technology stocks and the wider market
✔️ How the team thinks about taking profits after a strong run
✔️ Why cash can play an important role when market uncertainty increases
Disclaimer:
This podcast is provided for educational and informational purposes only. The content presented is not intended as personal investment advice or a recommendation to buy, sell, or hold any particular securities or investments. All discussions regarding the model portfolio are illustrative and for educational purposes.
Your capital is at risk. The value of shares, ETFs and ETCs can fall as well as rise, which could mean getting back less than you originally put in.

🎟️ Join The Art of Investing LIVE at Lord’s Cricket Ground!
Join Rich, Mark and Chris in the Long Room at Lord’s Cricket Ground on 13th October from 6:30pm for a special live edition of The Art of Investing, with special guests, prizes and more.
The event is completely free – sign up here:
 https://www.ig.com/uk/the-art-of-investing-live

📈 Download the full Portfolio Performance Slides
 View the portfolio breakdown: here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
🎧 Listen on:  Apple, Spotify, YouTube 

This week on The Art of Investing, Rich, Mark and Chris are joined by Kieron Lynch, a gilt market veteran whose career began during Britain’s 1976 financial crisis and spans 50 years across the UK bond market.
With oil above $100, bond yields climbing and central banks facing increasingly difficult decisions on interest rates, Kieron looks back to the inflation crisis of the 1970s to ask what investors and policymakers can learn from history.
The team explore why credibility matters so much to bond markets, whether the Bank of England is falling behind the curve and why treating inflation as “transitory” can be such a dangerous strategy. Kieron also explains what would need to happen before he becomes confident buying long-dated gilts again.
Plus, the team assesses another difficult week for the portfolio as rising oil prices, a stronger US dollar and changing expectations around AI investment put pressure on commodities and emerging markets.
This Week’s Highlights:
🕰️ What Can Investors Learn From the 1970s?
 Kieron takes us back to Britain’s 1976 financial crisis, when soaring inflation, negative real yields and collapsing confidence ultimately forced the UK to seek help from the IMF.

📈 Why Inflation Comes in Waves
 From the oil shocks of the 1970s to today’s disruption around the Strait of Hormuz, Kieron explains why defeating one inflationary shock doesn’t necessarily mean the problem is over.
🏦 Is the Bank of England Behind the Curve?
 The team questions whether incremental rate rises will be enough, with Kieron arguing that markets need convincing evidence that policymakers are serious about bringing inflation under control.
💷 Are Gilts Finally Becoming Attractive?
 With long gilt yields approaching 6%, Chris and Kieron debate whether current yields represent an opportunity – or whether investors should wait for stronger action from the Bank of England.
🤖 AI Hits a New Roadblock
 Warnings from leading AI executives over safety and the pace of development hit global chip stocks, while raising questions about whether hyperscalers could begin slowing their enormous capital expenditure plans.

🛢️ Oil Puts Markets Under Pressure
 Brent climbs to around $108 while US oil reaches $100, increasing inflationary pressure and contributing to a difficult week for commodities and other risk assets.

Portfolio Snapshot:
📊 Weekly portfolio performance: -1.2%
📅 2026 year-to-date return: +10.8%
Commodities were the biggest drag this week, with copper falling around 6% and BlackRock World Mining down around 5%. Emerging markets also came under pressure as semiconductor stocks fell, while the FTSE 100 was the portfolio’s strongest-performing risk asset.
Portfolio Changes:
No portfolio changes this week.
The team debate adding longer-dated gilts as yields approach potentially attractive levels, but ultimately decide to wait and see how the Bank of England and other major central banks respond. The portfolio therefore maintains its 15% cash position and 2.5% allocation to short-dated gilts.

Big Questions This Week:
What can today’s investors learn from Britain’s inflation crisis in the 1970s?
Is the Bank of England falling behind the curve?
Why is credibility so important when central banks fight inflation?
Are long-dated gilts finally becoming attractive at current yields?
Could slowing AI investment reduce the competition for capital?
Are resilient equity markets signalling strength or creating a false sense of security?
What You’ll Learn:
✔️ Why inflation can return in multiple waves
✔️ How monetary and fiscal policy worked together to restore UK market confidence
✔️ What investors mean when a central bank is “behind the curve”
✔️ Why bond markets react so strongly to central bank credibility
✔️ What could make long-dated UK gilts attractive again
✔️ Why treating inflation as permanent could actually help make it transitory
Disclaimer:
This podcast is provided for educational and informational purposes only. The content presented is not intended as personal investment advice or a recommendation to buy, sell, or hold any particular securities or investments. All discussions regarding the model portfolio are illustrative and for educational purposes.
Your capital is at risk. The value of shares, ETFs and ETCs can fall as well as rise, which could mean getting back less than you originally put in.

🎟️ Join The Art of Investing LIVE at Lord’s Cricket Ground!
Join Rich, Mark and Chris in the Long Room at Lord’s Cricket Ground on 13th October from 6:30pm for a special live edition of The Art of Investing.
The event is completely free – sign up here:
 https://www.ig.com/uk/the-art-of-investing-live

📈 Download the full Portfolio Performance Slides
 View the portfolio breakdown: here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
🎧 Listen on:  Apple, Spotify, YouTube 

This week on The Art of Investing, the team look ahead to a crucial week for global interest rates, with major central banks preparing to make their next moves as investors grapple with rising oil prices and an intensifying competition for capital.
Chris explains why he believes interest rates need to rise regardless of the latest inflation data, while Mark explores the bullish alternative: could AI-driven productivity and investment deliver economic growth strong enough to offset higher borrowing costs?
The team also examine Scott Bessent’s attempts to influence US bond markets, the strengthening Japanese yen and what record copper prices are telling us about demand, AI infrastructure and the global economy.
Plus, 25 years on from 9/11, Rich, Mark and Chris reflect on their experiences working in financial markets that day and the extraordinary market recovery that followed.
This Week’s Highlights:
🛢️ Oil Breaks Through $100
 Oil moves above $102 a barrel as disruption around the Strait of Hormuz puts energy markets and inflation back in focus.
🥉 Copper Hits Another Record High
 Copper reaches a new all-time high as supply tightens and demand from AI data centres continues to grow.
💴 The Yen Trade Pays Off
 The Japanese yen strengthens around 4%, helping the portfolio’s unhedged Nikkei 225 position and highlighting the impact currencies can have on overseas investments.
🏦 Should Central Banks Raise Rates?
 With major central bank decisions approaching, Chris argues policymakers should act now to demonstrate their commitment to controlling inflation.

🤖 Could AI Deliver Extraordinary Growth?
 The team debate whether AI-driven productivity could generate enough economic growth to offset higher borrowing costs.
📈 When Do Higher Yields Become a Problem?
 Chris asks where the tipping point lies at which attractive bond yields begin pulling capital away from equities.

Portfolio Snapshot - Week 56:
📊 Weekly portfolio performance: +0.2%
📈 Total return since inception: +24.8%
📅 2026 year-to-date return: +12.2%

Top Performers:
📈 iShares Nikkei 225 ETF: +2.8%
📈 WisdomTree Copper ETF: +2.8%
📈 iShares Core MSCI EM IMI ETC: +1.0%

Underperformers:
📉 iShares MSCI India ETF: -2.9%
📉 Vanguard FTSE 250: -1.1%
📉 iShares Core FTSE 100 ETF: -0.9%
📉 Invesco STOXX Europe 600 UCITS ETF GBP: -0.8%

Portfolio Changes:
The team are selling their 5% holding in XLI SPDR US Industrials ETF and moving the proceeds into cash, taking the portfolio’s cash allocation from 10% to 15%.
After several weeks of discussing becoming more defensive, the additional cash gives the team greater flexibility should opportunities emerge.
Big Questions This Week:
How much further could oil prices rise?
Why has the Japanese yen strengthened so sharply?
Should central banks raise rates even if inflation begins to soften?
Can AI growth offset higher borrowing costs?
When do higher bond yields begin pulling capital away from equities?
Is now the right time to become more defensive?
What You’ll Learn:
✔️ Why oil above $100 could create renewed inflationary pressure
✔️ How currencies can transform returns from overseas investments
✔️ Why central banks face difficult decisions on interest rates
✔️ How AI investment is creating competition for capital
✔️ Why stronger growth doesn’t automatically mean higher equity valuations
✔️ Why the team are increasing their cash position

Disclaimer:
This podcast is provided for educational and informational purposes only. The content presented is not intended as personal investment advice or a recommendation to buy, sell, or hold any particular securities or investments. All discussions regarding the model portfolio are illustrative and for educational purposes.
Your capital is at risk. The value of shares, ETFs and ETCs can fall as well as rise, which could mean getting back less than you originally put in.