Tech sell-off continues with double-digit losses
The technology sector saw double-digit losses in May after a “rocky month” saw the index fall 10%.
According to S&P Dow Jones, the S&P/ASX Information Technology index was in the red for the year and was down 12%.
“The S&P/ASX 200 Information Technology index had a rocky month, sliding 10% to move Aussie tech further into the red for the year- down 12% so far.”
Year to date performance of Information Technology index versus ASX 200
Earlier this week, Forager Funds Management said they were looking to take advantage of the indiscriminate tech sell-off to buy up cheap stocks for its Australian Shares portfolio.
The other three sectors which underperformed during the month were industrials, energy and utilities which lost 1%, 1.7% and 6.6% respectively.
Meanwhile, financials rose by 6% while consumer discretionary and healthcare both gained 4%, making them the best-performing sectors during the month.
Over the month, it was the top 20 stocks which delivered the most outperformance with gains of 4% which helped the overall ASX 200 to gain 2% during May.
“Factors traded in a tight range in May with most of our reported factors closing the month in the range of 1%-2% of the S&P/ASX 200. Value was the sole outperformer among factor strategies this month, rising 3%. Pulling at the rear was momentum which ticked down 2% in May.”
The technology sector saw double-digit losses in May after a “rocky month” saw the index fall 10%.
According to S&P Dow Jones, the S&P/ASX Information Technology index was in the red for the year and was down 12%.
“The S&P/ASX 200 Information Technology index had a rocky month, sliding 10% to move Aussie tech further into the red for the year- down 12% so far.”
Earlier this week, Forager Funds Management said they were looking to take advantage of the indiscriminate tech sell-off to buy up cheap stocks for its Australian Shares portfolio.
The other three sectors which underperformed during the month were industrials, energy and utilities which lost 1%, 1.7% and 6.6% respectively.
Meanwhile, financials rose by 6% while consumer discretionary and healthcare both gained 4%, making them the best-performing sectors during the month.
Over the month, it was the top 20 stocks which delivered the most outperformance with gains of 4% which helped the overall ASX 200 to gain 2% during May.
“Factors traded in a tight range in May with most of our reported factors closing the month in the range of 1%-2% of the S&P/ASX 200. Value was the sole outperformer among factor strategies this month, rising 3%. Pulling at the rear was momentum which ticked down 2% in May.”
Recommended for you
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.
As ASIC chair Joe Longo pushes firms to prepare for the upcoming mandatory climate disclosure regime, what skills are necessary if firms are looking to expand their ESG teams?
First Sentier Investors has announced it will close four of its Australian investment teams amid a simplification of the business, with $14 billion expected to be returned to investors.