As we reflect on the financial year, the past 12 months have presented extraordinary challenges, most notably the unprecedented increase in interest rates, signaling a softening economy with the full brunt of the pain yet to be felt. However, amidst the heightened pessimism, both domestic and overseas equity markets have staged a remarkable recovery. This showcases the importance of resilience when staying the course as an investor during turbulent times.
However, the fight against inflation has more time to play out and higher (or normal) interest rates are here to stay, which requires a shift in how we look at asset allocation. There are compelling opportunities in fixed-interest markets to generate returns in the form of income without taking excessive risk, and this will continue to be reflected in how we position portfolios.
Finally, as we gear up for our annual account preparations, we will share minutes, revised investment strategies for SMSFs, and other compliance documents. As part of this, we will move away from DocuSign and onto a new portal using MyProsperity for storing and referencing essential documents. My Prosperity is owned by ASX listed HUB24, which also owns the software we use for our investment accounting (Class). Our primary objective is to enhance data protection, providing you with a secure way to collaborate with us and eventually providing a holistic view of your wealth.
Happy New Financial Year!
The information provided should not be considered personal financial advice as it is intended to provide general advice only. The content has been prepared without taking into account your personal objectives, financial situations or needs. You should seek personal financial advice before making any financial or investment decisions.