-
Recent Market Volatility
Read more: Recent Market VolatilityAfter a period of relative calm in the markets, in recent days the increase in volatility in the stock market has resulted in renewed anxiety for many investors. From February 1–5, the US market (as measured by the Russell 3000 Index) fell almost 6% and in Australia, the S&P/ASX 300 Index fell almost 5% during the equivalent period.[1] This resulted in many investors wondering what the future holds and if they should make changes to their portfolios. While it may be difficult to remain calm during a substantial market decline, it is important to remember that volatility is a normal…
Topics:
-
2017 Year in Review
Read more: 2017 Year in ReviewEconomic Overview Once again, the investment strategy of maintaining discipline and holding for the long term won out over reacting to media forecasts and predictions from hyperventilating partisans. In January 2017 CNBC suggested Wall Street was the most bearish they’d been in 12 years, as it turned out, the global economy continued to strengthen as share markets posted solid returns on low volatility. In Q4, defeats in US Senate contests struck fear into Republicans about 2018 mid-term elections and they quickly agreed to the long talked about Trump tax reform bill. Markets rallied with big tax cuts ahead for corporations.…
Topics:
-
Don’t Let Politics Cloud Investment Decisions
Read more: Don’t Let Politics Cloud Investment DecisionsIt could be argued to regularly follow the media is to pursue the extremes of public discourse. Especially, when it comes to politics. Watching the TV, it can be frightening to think of some of the crazed minds that turn up to various ‘pro this’ and ‘anti that’ rallies, but remember they’re not actually representative of anything more than themselves. The media focuses on these varying extremities because it’s good for their business model. Heightened political tensions and outlandish statements offer the impression that conflict, action and urgency are heightened. It turns heads. However, the news never leads with the…
Topics:
-
2017 September Quarter Review
Read more: 2017 September Quarter ReviewEconomic Overview Despite continued political uncertainty amid rising tensions with North Korea’s ‘rocket man’ and the ongoing failure of the Trump administration to realise its policy goals, sentiment for the September quarter was largely undimmed. In the US, both economic data and forward-looking activity indicators did slightly deteriorate towards the period end in the wake of hurricanes Harvey and Irma. However, the market and the US Federal Reserve judged any potential impact on growth as transitory and easily overcome. The Federal Open Market Committee confirmed measures to reduce its balance sheet in October, while Federal Reserve chair Janet Yellen added…
Topics:
-
2017 June Quarter Review
Read more: 2017 June Quarter ReviewEconomic Overview Political uncertainty remained a feature in the June quarter as President Trump dismissed FBI director James Comey and French and UK elections were held. In the EU, risk eventually retreated as the Centrist and Pro-EU candidate Emmanuel Macron won a convincing victory in the French elections. In the UK things weren’t quite as clear, with the snap election anticipated to strengthen the Conservative majority before Brexit negotiations, ended by eroding their majority. While commentary from Bank of England Governor Mark Carney and his EU peer Mario Draghi appeared to signal the days of stimulus were numbered and tighter…
Topics:
Financial Planning, Investment & Insurance Solutions
Dedicated to helping people across Dubbo & NSW with their financial needs
