It is worth noting again the divergence within International Equities. For Developed Markets we have the United States in the upper part of the Fully Priced range with relatively low commensurate returns, and most of Europe in the Cheap valuation band, though not without some...
The primary tool that the world’s central banks have at their disposal is to set short term interest rates, from which other investments are priced either directly or indirectly, using this cash rate as a reference. We often refer to it as a risk free...
Most major indices around the world moved lower during September and the Australian All Ordinaries index was certainly included amongst those. Of note particularly is the move back to our Fair Value range in Listed Property. Returns in International Equities have been bolstered by the...
As outlined in previous commentaries, there have been some further slight reductions in the risk free rate which delineates the threshold between Fully Priced and Overpriced. The return available on a five year term deposit from a major Australian Bank now stands at 4.0%, and...
[titled_box title="Financial markets over the past month" variation="black"]Rather than the relativity of forecast returns between the asset classes shown below, this month we want to highlight that the proxy we use in this chart for risk free returns has fallen again. That risk free return...
[titled_box title="Financial markets over the past month" variation="black"]Changes in the indices representing the asset classes depicted below were very minor for the most part and as a result here have been comparatively modest moves in the assessed valuations for all three of the equity asset...