February 2024 - Quarterly Investment Update
Good Afternoon,
As we bid farewell to the delightful chaos of Christmas, we eagerly step into the threshold of a brand new year, brimming with possibilities and promise and as always we thank you for being part of the FoxPlan Family.
We are pleased to enclose our Summer update covering the period from October 2023 – December 2023
In 2023, media attention was dominated by issues like ram raids, law and order, the cost of living crisis, and conflicts in the Middle East and Ukraine, overshadowing positive investment market performance. Despite volatility, investment markets, including Australian, emerging market, and international developed shares, delivered double-digit returns, and previously weak bond markets rebounded.
Looking forward to 2024, if it mirrors 2023's market performance with a more positive news flow, it could be an optimistic year. Portfolios remain well diversified, ready to capture returns wherever they may arise. In times of market unpredictability, the recommended approach remains consistent: staying invested, maintaining diversification, minimizing costs, and exercising patience – a strategy successful strategic investors have applied for years.
Global share markets experienced strong gains in the last quarter as expectations shifted towards a potential 'soft-landing' for the US economy. This optimism, known as the goldilocks scenario, led to a surge in share prices. Global bonds also benefited from expectations of lower US interest rates in 2024, causing bond prices to rise. Despite minimal changes in economic factors, the key driver was the shift in investor expectations, prompting a reassessment of asset valuations and pushing prices higher. The positive change in expectations provided a tailwind for markets in the fourth quarter of 2023.
Within the update, the Market Commentary section provides an overview of the previous quarter and highlights several areas of interest – inflation, migration and the magnificent 7
A more detailed summary of International, Emerging Markets, NZ and Australian Shares can be found in the Key Market Movements Section.
The featured article by Consilium titles ‘2023: Another year that defied the experts’ takes a retrospective look at 2023, the biggest major headlines and the forecasts that followed and discusses lesson we can take into 2024.
We would like to bring to your attention a series of in person seminars we are hosting for 2024 which will be focussed to Investments and SME business owners.
If you would like to learn more or sign up for the seminars please click the button below
We are only a phone call or an email away should you wish to discuss anything. Please get in contact with your adviser or contact us at 0800 NO STRESS (0800 667 873) or email info@foxplan.nz if you have any questions or would like your adviser to talk through your current investment plan.
Kind Regards,
The FoxPlan Team