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British Bargain Basement: Why UK companies are selling out?

British Bargain Basement: Why UK companies are selling out?

Season 2 Episode 54 Published 4 weeks, 2 days ago
Description


📊 The Art of Investing Survey – Fill in the form here, we’d love your feedback: https://forms.office.com/e/tCyxzN48Ks

📈 Download the full Portfolio Performance Slides
 View the portfolio breakdown: here
📧 Get in touch: theartofinvesting@ig.com
📱 Behind the scenes: @_theartofinvesting on TikTok
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This week on The Art of Investing, the team navigate a shortened trading week where, despite markets feeling under pressure, the portfolio continues to edge higher, now up +22.6% since inception and +10.1% year-to-date.


But beneath the surface, things are shifting quickly.


With oil surging nearly 20% in just a few days, bond yields climbing, and AI continuing to redirect capital across the global economy, the team unpack a market that feels increasingly volatile, even when headline performance looks steady.

From strong moves in commodities to sharp declines in legacy tech, and a wave of takeover activity across the UK, this episode explores where capital is flowing, and what that means for investors right now.


This Week’s Highlights:


📈 Portfolio Pushes Higher
 A positive start to the week sees the portfolio rise +1.1%, continuing its strong long-term performance.

⚒️ Copper Leads the Charge
 WisdomTree Copper ETF tops the leaderboard, up +4.1%, driven by falling inventories and strong demand signals.


🛢️ Oil Jumps Sharply
 Oil prices surge nearly 20%, lifting commodities and adding pressure across global markets.


🤖 AI Reshaping Markets
 Capital continues to rotate into AI, with traditional software names like IBM falling sharply as spending shifts.


📊 Volatility Around Earnings
 Large swings in individual stocks highlight a market increasingly driven by expectations vs reality.


🇬🇧 UK Takeover Activity Surges
 A wave of M&A activity points to potential undervaluation, with significantly more takeovers than new listings.


📉 Bond Yields Climb
 Rising yields suggest markets are beginning to price in the possibility of higher interest rates.

Portfolio Snapshot – Week 48:

No changes were made to the portfolio this week.

📊 Weekly portfolio performance: +1.1%
📈 Total return since inception: +22.6%
📅 2026 year-to-date return: +10.1%

Top Performers:

📈 WisdomTree Copper ETF: +4.1% WoW
📈 BlackRock World Mining Trust PLC: +2.0% WoW
📈 iShares Nikkei 225 ETF: +2.0% WoW


Underperformers:

📉 iShares Core MSCI Emerging Markets ETF: +0.3% WoW
📉 iShares Core FTSE 100 ETF: +0.3% WoW
📉 iShares UK Gilts 0–5yr ETF: 0.0% WoW


Big Questions This Week:

• Is the surge in oil prices sustainable, or just a short-term shock?
• Are bond markets signalling that interest rates could move higher again?
• How much disruption is AI really causing across traditional industries?
• Why are UK companies being taken over at such a high rate?
• What does continued volatility mean for portfolio positioning?


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