Market & Portfolio Update - June 2021
Returns on overseas investments were supported by the New Zealand dollar falling against most major currencies during the month. The US dollar strengthened by 4% in June after the Federal Reserve brought forward their expectation for hikes in the Fed Funds Rate from 2024 to 2023. Given the strength of the economic data so far this year, there is a possibility this could be brought forward again.
Global share markets were up over 2% for the month in their home currency terms, and almost 6% in NZD terms (due to the weaker NZ dollar). Pleasingly, both our active global share managers delivered significantly higher returns, with California-based Fisher investments, benefiting from their exposure to the technology sector.
The New Zealand and Australian share markets also produced solid returns for the month, although were both relatively quiet on the news front. Many of the higher growth companies were back in favour during June, with their valuations being supported by longer-term interest rates falling back a little after rising in the first part of the year.
Market & Portfolio Update: July 2026
Early in the month, renewed tension in the Middle East briefly pushed Brent crude oil above US$100 a barrel, which lifted energy prices and brought inflation concerns back into focus.
Lifetime Book Club: Paradox of Choice by Barry Schwartz
In The Paradox of Choice, psychologist Barry Schwartz explores a curious feature of modern life: while freedom and choice are undoubtedly valuable, there can come a point where having more options makes decisions harder, increases our expectations and leaves us questioning whether we made the right choice at all.
From what to buy and where to eat to decisions about careers, relationships and money, Schwartz looks at the hidden mental cost of constantly comparing our options – and makes the case that sometimes, simplifying our choices can leave us better off.