Market & Portfolio Update - June 2019
Market & Portfolio Update - June 2019
Global share markets had a strong positive performance in June, rebounding from May’s weakness, but in a somewhat volatile fashion. While over the long-term companies are valued according to their earnings, in the short-term they can be driven by investor sentiment and the current period is no exception. Global share markets rose 6% in June where the US market experienced its strongest June since 1933. This completely offset May’s weakness (the weakest May since 1970) and supported fund's strong gains so far in 2019, with a typical balanced portfolio up 10% over the last six months.
Fixed Interest investments continued to perform well, as market interest rates declined around the world, and yields on NZ bonds fell to new lows. This is a helpful source of support for economic growth, by helping make financing more affordable for a wide range of borrowers.
NZ and Australian shares also performed positively. Our local markets continue to be supported by their relatively defensive characteristics and dividend yields, which are well above the global average. These healthy dividends are looked upon favourable by investors when global and local interest rates move lower as we have continued to see.
Disclaimer: This article has been prepared for the purpose of providing general information, without taking into consideration any particular investor’s objectives, financial situation or needs. Any opinions contained in it are held as at the report date and are subject to change without notice. This document is solely for the use of the party to whom it is provided.
The Summer Reset
Summer has a way of easing the pressure. The days feel longer, the calendar softens, and life slows just enough to remind us that not everything needs to be urgent, solved, or optimised right now. It’s a subtle shift, but a powerful one. And it’s what we like to think of as the summer reset.
Lifetime Book Club: Ikigai by Héctor García & Francesc Miralles
“The happiest people are not the ones who achieve the most. They are the ones who spend their lives doing what they love, with purpose.”
That is the central idea of Ikigai.
This is not a hustle manual or a step-by-step guide to success. It is a gentle, thoughtful exploration of what gives life meaning, and how small, intentional choices can lead to a longer, happier, more fulfilled life.