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.
Refixing a Mortgage Isn’t Just About the Rate, It’s About Strategy
When your fixed mortgage rate is coming to an end, it is tempting to focus on one thing, the new interest rate.
And understandably so, interest rates are front-page news, and they directly affect your household budget. But while the rate itself is important, it is only one part of the picture.
KiwiSaver is changing
Budget 2025 has introduced some significant updates to KiwiSaver. These changes are aimed at ensuring the scheme remains sustainable while helping New Zealanders grow their retirement savings. Whether you are just starting out, nearing retirement, or somewhere in between, here's what you need to know and how it might affect your financial plans.