Newsletter – June 2023

Our theme this month is diversification. Diversifying investments can mitigate risk by balancing the ups and downs of individual shares, and individual countries to reduce their impact on your entire portfolio. A diversified portfolio is more resilient because it’s designed to capture growth while providing relative security during market downturns.

Our theme this month is interest rates. After the highest interest rates since 2008, the Official Cash Rate (OCR) was cut in August, marking the first cut since 2020. In this newsletter we outline what lower interest rates mean for your portfolio.

This issue covers our human nature of feeling twice as much pain from an investment loss as we do pleasure from a gain, and while it can be tempting to view our investments daily, the key to long-term investment success is being invested over the longer term.

Recent Bank Failures: Looking through the headlines to find perspective.

It’s been an eventful start to the year. Tensions have been rising between Russia and Ukraine and central banks around the world are looking to increase interest rates.

This month’s theme is the benefits of active management. Active management allows us to manage specific risks, adjust to market conditions, and uncover hidden investment opportunities. Dutch company ASML has been an exciting recent success story.