International funds win October
The woes of the Australian dollar are continuing to benefit investors with a significant exposure to international funds.
While share markets in Australia and overseas look more and more bearish each month, the falling Australian dollar has helped international shares invested in Australian dollars.
According to Ausbil Dexia, international shares returned 2.8 per cent in October in Australian dollar returns, thanks to a 5.5 per cent by the Australian dollar against the US dollar.
In contrast, Australian shares were the worst performing sector in October, losing 1.2 per cent of their value over the month. International markets actually fared worse over the month but the falling Australian dollar cancelled out the fall.
European and US markets were the best performer over the month, while Asian stocks continued to flounder. The Dow was up three per cent for the month, the UK was up 2.3 per cent and Germany rose 4.1 per cent.
The Nasdaq had yet another shocking month, losing 8.2 per cent, which had a corresponding hit on Asian markets which have strong exposure to telecommunication, technology and media stocks. Korea lost 16.1 per cent, Japan was down 7.7 per cent while Taiwan lost 11.4 per cent. Singapore and Hong Kong fared better but still lost ground during the month.
Recommended for you
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
