Market & Portfolio Update - August 2021
Global share markets were up over 3% in local currency terms for the month, but with the NZ dollar strengthening against most major currencies, this performance was slightly offset for NZ based investors. The US markets led global markets again, with the insurance sector being one of the best performing sectors. The Booster portfolios have been overweight US insurers since February.
The US market was also supported by the US central bank indicating they are likely to be more patient with raising interest rates than what the market was expecting. Although they did suggest reducing the size of their quantitative easing program later this year, provided the economy continues to make substantial further progress.
The New Zealand share market saw the latest round of financial reporting where companies report either their half year or full year financial results. Overall, the results were strong, with the majority of companies coming in ahead of the market’s expectations, reiterating the strength of New Zealand’s economic recovery.
You’re Missing Out on Tax Savings If You Haven’t Had a Chattels Valuation Done
We’ve been recommending chattels valuations from Valuit for over 20 years, and it still amazes us how many property investors haven’t had one completed.
If you own a rental property and your current accountant hasn’t discussed chattels valuations and depreciation with Valuit, there’s a very good chance you’re paying thousands of dollars more tax than you need to over the life of the property.
12 Common issues and mistakes we regularly see
We review many financial statements prepared by other accountants. Below are some recurring issues we frequently identify, many of which are also areas the IRD commonly focuses on.