Category: Blog

When new information comes to market unexpectantly, markets have a habit of behaving erratically. As a result of the US tariff announcements our models and markets generally had a challenging quarter. Whilst it can be unnerving, it is important to consider that it is completely normal for markets to behave in this way, and on…

All AAN models other than the AAN Australian model had a positive quarter. Australian equities were negative for the quarter, as were both International and Australian fixed interest. International equities were a significant contributor to all AAN models that had exposure to the asset class. Australia’s economy continues its resilient and adaptive stance, continuing the…

All AAN Models have benefited from having no detracting asset classes over the 12 months to 30 September. This is also the case for the third quarter of 2024. All AAN models were positive for the quarter. Any detracting securities caused very small losses, compared to the gains produced by top contributing securities. Australia’s economy…

The AAN Models have had a mixed quarter, with models dominated by active fund managers slightly underperforming, while the index-based models had small outperformance over the June quarter. Details for each mode are available below. The figures for the active and index models are all before fees. The Australian economy weakened further in the June…

Global growth is anticipated to be moderate, with the year-average GDP growth for Australia’s major trading partners expected to slow down in 2024, affecting demand for Australian exports. Inflation in advanced economies is projected to align with central bank targets within the next year, amidst softer economic growth and a slight easing in labour markets,…

Contrasting predictions about recession or expansion, inflation or deflation, and the direction of interest rates continues. With this in mind, markets are likely to remain unpredictable. Liquidity is very important in this environment, providing easy access to funds and the ability to seize new opportunities, should they arise. Central banks remain firm against inflation. However,…

In our May update we discussed some changes to underlying models. While making those changes we had to opportunity to discuss rate cards with new managers and our incumbents, especially given the growth in the holdings in our AAN Core And AAN Growth options. Key considerations in the creation of the models have always been…

Central bank’s aggressive approach to combating inflation, characterised by significant rate hikes, did not stall the economy as anticipated by the markets. The market’s eagerness for a slowdown has been overtaken by its desire for expansionary monetary policy. Despite signs that the central banks remain firm against inflation, equity markets maintained an optimistic stance, hoping…

Global central banks hike rates amidst rising core inflation. Investors brace as economy cools. Equities soar despite the turbulence. Unruly ride in US equity markets driven by mega cap tech stocks (Apple, Microsoft, Amazon, Nvidia, Alphabet), boosting S&P 500, Nasdaq to a record 37% 6-month return, and Apple’s $3 trillion market capitalisation triumph. Artificial intelligence…

After a challenging year in 2022, diversified portfolios experienced favourable returns. Despite ongoing uncertainty and further tightening from central banks, risk asset markets across the world saw substantial positive returns during the first quarter of 2023. The major catalyst for volatility over the quarter stemmed from the banking sector, with the collapse of Silicon Valley…