Market & Portfolio Update - July 2021
Global share markets had another good month, with the US market performing well. July saw many US companies report their latest financial results, with around 85% of companies beating the market’s expectations. Investments in overseas shares also benefitted from the NZ dollar falling over the month. This added approximately 2% to the portion of your overseas investments where the currency is ‘unhedged’ and free to move with foreign exchange rates.
The global share managers which we employ to manage part of your global share investments both performed well during July. California-based Fisher Investments led the way, supported by their holdings in a number of large US technology companies. The share price of US technology companies have risen strongly over the past month, with the industry reporting 45% growth in earnings compared to last year.
The New Zealand and Australian share markets were relatively flat during July. The latest Covid outbreak has seen many of the Australian states move back into lockdown. As a result, businesses which rely on physical stores have been impacted. Several New Zealand based companies were also impacted by the lockdowns, such as Kathmandu and corporate travel software company, Serko.
Do You Have a Toxic Relationship with the Phrase “Treat Yourself”?
The phrase “treat yourself” has become a modern mantra. It’s a great way to celebrate a milestone, reward a job well done, or break free from your everyday routine. However, when it comes to our bank accounts, treating yourself can sometimes cause more harm than good.
One small indulgence leads to another, and before you know it, the lines between self-care and overspending blur. You might walk away from the register with a bag in hand but a sinking feeling in your stomach. Sound familiar?
Scroogenomics at Christmas: Finding Joy Beyond ‘The Extravagance’
Gazing through the dimly lit windows of his modest office, Ebenezer Scrooge pondered the modern-day Christmas, “Ah, Christmas – each December, a tide of frivolity sweeps the world, with consumers collectively parting with an estimated $1 trillion globally on holiday spending.”
Reflecting on this, the Scroogenomist wonders, “What if Christmas were not marked by gaudy extravagance, but by acts of kindness? A season where gifts are not measured by their price tags, but by the care and thoughtfulness behind them. A handmade scarf, a heartfelt letter, or simply the gift of time – all these carry more value than gold. How uplifting it would be if people prioritized what truly matters: love, compassion, and the joy of giving.”