Market & Portfolio Update - February 2025
The Global share market was broadly flat in February, up +0.2% in NZ dollar terms, despite news that US President Donald Trump was imposing 25% tariffs on the United States’ North American neighbors and closest trading partners, Canada and Mexico. An additional 10% tariff on Chinese imports is also expected to come into force, leaving all of America’s top three trading partners facing significantly higher barriers.
The New Zealand share market had an eventful month, with most companies reporting their half-year results. A2 Milk delivered a very strong result and announced it would pay its first-ever dividend, beating market expectations. In contrast, rest home operator Ryman Healthcare cited ongoing challenging market conditions and announced a $1 billion capital raise to reduce debt and strengthen its balance sheet.
During the month, the Reserve Bank of New Zealand continued their attempt to invigorate the domestic economy by lowering the Official Cash Rate to 3.75% (from 4.25%). While this is good news, it was largely expected by the market and didn’t cause any strong market movement on the day.
Lifetime Book Club: Happy Money: The Science of Happier Spending by Elizabeth Dunn & Michael Norton
“Money can't buy happiness – unless you know how to spend it.”
That’s the heart of Happy Money. This isn’t your usual guide to budgeting, saving, or investing. It’s a fascinating, research-driven look at how to turn spending into something that genuinely makes you feel good – not just for a moment, but in a meaningful, lasting way.
The Biggest Mistake Existing Property Investors Make
Are you asset-rich but cash-poor? This is very common for a lot of existing property investors who purchased before or during the last property boom and experienced significant gains in property values.