2020 proved to be one of the most tumultuous in modern history, marked by a number of developments that were historically unprecedented. But the year also demonstrated the resilience of people, institutions, and financial markets.
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Term deposits (TDs) have long been a way of life for New Zealand retirees. While TD rates have been tracking downwards for many years now, the arrival of rock bottom interest rates since Covid-19 struck has many people questioning what they can do with their money.
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The so-called FAANG stocks - Facebook, Amazon, Apple, Netflix, and Google’s parent company, Alphabet - have produced stellar returns over the past decade. In this article, Kenneth French looks at whether we can expect the same over the next decade, and even if we could, whether those expectations are likely to be borne out.
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Amid all the talk of trans-Tasman bubbles, one thing that doesn't seem to have made its way from Australia to New Zealand yet is the lessons of Australia's Hayne Royal Commission, which shone a light on the conflict of interest inherent in the vertically integrated model of financial services.
In this article, Scott Alman, Managing Director of Consilium NZ Ltd, examines how the outcomes of the Hayne Royal Commission could be applied to KiwiSaver on this side of the ditch.
How much is financial advice worth? One recent New Zealand survey suggests that individuals investors who receive professional financial advice in New Zealand enjoy returns that are four percent higher per year.
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For all the talk of elaborate remedies, the essential advice in the coronavirus crisis has been to wash your hands regularly, avoid touching your face and practice social distancing. The essential toolkit for long-term investors is similarly minimalist.
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The FAANGs (Facebook, Amazon, Apple, Netflix, and Google) have outperformed the wider market in recent times. What does history tell us about the likely future performance of these technology behemoths?
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Some commentators have noted the apparent divergence between sharemarkets and the real economy since markets began their recent recovery from the Covid-19 shock. What does this tell us about the nature of financial markets?
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Over the past decade something really extraordinary has happened. It has to do with valuation.
The plain truth is that small value companies have done worse than the market and this has been challenging for investors in these strategies.
Will value continue to be the ugly duckling of investing? In this article, we look at what history suggests.
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Dimensional's sustainability strategies are designed to help investors align their environmental and social values with their long-term investment goals without sacrificing sound investment principles or expected returns.
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Financial markets are ending the year with greater volatility than we have seen for a while. But it’s worth keeping in mind that as recently as September, the US market was at record highs. Elsewhere, the UK market hit record highs in May, while our market reached 10-year highs mid-year.
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In the first three weeks of January 2018 alone the S&P 500 crossed ten new record closing highs in 13 days of trading. Then, in February, the index lost all its gains from 2018 in a few days. Over the next 7 months it built up gains again, and then lost all them over the course of three weeks in October. What’s going on?
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Investing well doesn’t have to be complicated. It often comes down to paying attention to a few elements that are within your control and learning to live with those influences outside your influence.
Building up sufficient savings for retirement is clearly an important goal, but some of the biggest issues we see are around this major life change are about expectations of how you will live and what you will do.
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Wars, terrorism, financial crises, political scandals – the news can be depressing. While it’s true that many bad things do happen in the world, have you ever wondered why good news doesn’t get similar billing?
The virtue of remaining patient amid the urge to do just the opposite was first expressed more than 2,000 years ago by the philosopher Aristotle, who said “while patience is bitter, its fruit is sweet”.
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