MARKETS AND THE PRICING-IN OF WAR Russia/Ukraine War – March 2022 Isaac Asimov — ‘Violence is the last refuge of the incompetent.’ 1. Explanation of the Conflict Over the past few months Russia has been increasing their military presence on the border of Ukraine. A general ramping up of vocal threats led to an eventual […]
How the different asset classes have fared: (As at 31 January 2022) International Equities Unhedged and hedged international equities exposures finished negative on the month of January, falling 2.25% and 5.05% respectively. Over the month we saw a sell-off in technology stocks in the United States as markets priced in a sizable uptick in interest […]
How the different asset classes have fared: (As at 31 December 2021) International Equities Unhedged and hedged international equities exposures finished positive on the month of December, changing 3.98% and 1.73% respectively. Even with high inflation numbers and surging Omicron case numbers, international equities, namely the United States rose to finish the year. A gain […]
International Equities Hedged and Unhedged International equities exposures varied strongly across the month of November changing 3.65% and -1.56% respectively. After moving sharply higher at the beginning of November, fears regarding higher and longer than expected inflation, news on the new COVID variant, combined with continued tapering talks coming the Federal Reserve was the catalyst […]
How the different asset classes have fared: (As at 31 October 2021) International Equities International share markets (unhedged) rose 1.65% in October. Fully hedged international shares rose 5.41% on the month signaling a strengthening AUD across the month. Within the United States, the S&P 500 continues to make new all-time highs as markets in general […]
How the different asset classes have fared: (As at 30 September 2021) International Equities International share markets (unhedged) fell by -3.04% in September. The performance of hedged and unhedged shares is now fairly similar over longer time periods. However, with a weaker A$, unhedged shares are now outperforming hedged over the past 6 and 12 […]
How the different asset classes have fared: (As at 31 August 2021) International Equities International share markets (unhedged) rose 3.09% in August. The performance of hedged and unhedged shares is now fairly similar over longer time periods. However, with a weaker A$, unhedged shares are now outperforming hedged over the past 6 and 12 months. […]
How the different asset classes have fared: (As at 31 July 2021) International Equities International share markets (unhedged) rose by 4.1% in July. The weaker A$ helped with hedged international shares which did not benefit from the falling A$ only returning 1.8%. The US share market continues to edge higher. European shares also delivered positive […]
How the different asset classes have fared:(As at 30 June 2021) International Equities International share markets (hedged) rose by 2.1% in June. Movements in share markets over the month were largely driven by comments from members of the US Federal Reserve (Fed) about the timing of future interest rate hikes. Share markets initially fell after […]
How the different asset classes have fared: (As at 31 May 2021) Australian and International Equities May was a volatile month for equity markets. Inflation worries caused a drop in the first half of the month with the ASX All Ords down -1.83% at one point. It then rebounded strongly in the second half of […]