Newsletter – September 2021

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.

The benefits of adding unlisted investments (investments that aren’t listed on publicly traded exchanges) to your portfolio. When selected appropriately, these investments tend to offer attractive returns relative to the risks involved and help support the growth of NZ businesses.

This issue covers what the results of the NZ general election and the conflict in the Middle East mean for investors.

This month we lift the lid on shareholder voting. Our aim is to ensure that the companies that you are invested in are well-governed, responsible corporate citizens, and acting in your best interests.

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 month we unpack diversification. Diversification is a strategy to lower investment risk by spreading money across and within different asset classes, such as shares, bonds and cash. It’s one of the best ways to weather market ups and downs and maintain the potential for growth.