Investors move to global equities
Australian investors are increasing their exposure to global equities, but their appetite seems to be moving from East to West, according to a new report released by Investment Trends.
The Investment Trends 2012 Global Investing Report found both investors and financial planners are feeling more optimistic about the global investment market, particularly the United States and North America markets.
Half of high net worth clients, for example, have an exposure to global investments, up from 45 per cent at the end of 2011, with more to make the move, said Investment Trends senior analyst Recep Peker.
Funds covering several regions remain the most popular investment, but the exposure to the US and North America has almost doubled in the last 12 months - from 15 per cent to 28 per cent.
“This increase has come at the expense of the Asian region and emerging markets,” Peker said. “The appetite seems to be moving from East to West.”
However, Peker added that financial planners were taking a more focused approach to international equities than before.
At the end of 2011 they were recommending investments relating to three regions per client, but this has reduced to two in the last 12 months.
Recommended for you
Platinum Asset Management has put its two closed-end funds under strategic review in a bid to reduce the share price discount to pre-tax NTA and maximise shareholder value.
In the latest Meet the Manager profile, Money Management speaks with Michael Skinner, founder and managing director at Blackwattle Investment Partners.
Perpetual has seen AUM rise 6 per cent in the last quarter but the departure of a longstanding JOHCM fund manager led to outflows of $2.2 billion from his strategy.
Global fixed income fund Bentham Global Opportunities has been added to several major platforms, enabling it to be accessed more easily by financial advisers.