Set out below are a sample of our previous Investment & Economic Snapshots (produced monthly), and thought pieces. These form part of our comprehensive adviser and investor engagement program.
Adviser and investor engagement is an important part of the service we provide to our clients. Please get in touch if you would like to know more about our broader suite of high-quality collateral and engagement activities.
Adviser and investor engagement is an important part of the service we provide to our clients. Please get in touch if you would like to know more about our broader suite of high-quality collateral and engagement activities.
Thought Leadership
December 2023 - Year in Review
The year started well, with major market indices showing above-average returns. News of decreasing inflation in the US led to increased investor optimism and speculative buying. The US Dollar declined due to positive global economic developments and improved risk sentiment, along with narrowing interest rate differentials. Investors were optimistic about continued economic stability and growth in 2023 following an exceptionally poor and highly unusual 2022 for global financial markets – the first time in recorded history where bonds and stocks fell by more than 10%.
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Thought Leadership
The valuation conundrum, Sept 2023
Unlisted assets have played an increasingly important role amongst industry super funds. As of June 2023, the average proportion invested by industry superannuation funds in unlisted assets was 16.4%, with approximately 4.8% allocated to both unlisted equity and direct property and 6.7% to unlisted infrastructure. In comparison, Australia’s largest superannuation fund, AustralianSuper, currently holds 26.6% of its portfolio in unlisted assets, of which 4.8% (the industry average) is in unlisted property.
These are material and sizable holdings and a key point of difference versus small investment funds which do not have the scale to internally manage such assets at these levels. The larger industry super funds certainly have the size and time horizon to absorb these investments, but do they have the internal expertise and the collective will to value these assets in a timelier fashion and out of cycle during volatile periods? To receive a copy of this article, please click on Contact Us. |
Investment & Economic Snapshot
June 2023 - FY2022/23 Year in Review
In a year characterised by its unpredictability, markets have managed to deliver solid results in what has proved to be a better year for economies than broadly expected 12 months ago.
While manufacturing has suffered through the combination of weaker demand for goods and soaring costs, service sector activity remains remarkably robust. Notably, the US has successfully navigated various challenges, including the banking crisis and the debt ceiling deadline. These accomplishments, coupled with a strong labour market, have outweighed the drag posed by higher costs and interest rates. Click on the link below to view the entire Snapshot. |
Investment & Economic Snapshot
March 2023
The turmoil that erupted in the wake of the failures of Silicon Valley Bank, Signature Bank and Credit Suisse led to a bout of risk-off sentiment in the first half of March which subsequently recovered as the banking dust settled in the weeks following. Initially, equities sold off globally, the oil price fell, and government bonds rallied amid worries of contagion. Fortunately, the situation did not become a self-fulfilling prophecy as was originally feared. US and European central banks’ swift response to the developing crisis appears to have done the trick, calming markets and improving sentiment in the latter part of the month.
The S&P500 finished the month up a creditable 3.7%. The MSCI World and Emerging Markets exchanges also performed strongly after a volatile start. The ASX however struggled to gain ascendancy against regional peers over the past couple of months, closing -0.2%, despite a late surge. Click on the link below to view the entire Snapshot. |