Once again, the investment strategy of maintaining discipline and holding for the long term won out over reacting to media forecasts and predictions from hyperventilating partisans
Political uncertainty remained a feature in the June quarter as President Trump dismissed FBI director James Comey and French and UK elections were held. In the EU, risk eventually retreated as the Centrist and Pro-EU candidate Emmanuel Macron won a convincing victory in the French elections.
Global policy makers expressed a cautious welcome for continuing signs of improving activity during the March quarter. The Reserve Bank of Australia noted a pick-up in global trade and industrial production, alongside a tightening of labour markets.
Every year S&P Dow Jones put out their yearly SPIVA scorecards and if they sound vaguely familiar it’s because we talk about them every year. We talk about them because they’re important.
The dangers of basing investment strategies on media forecasts were highlighted dramatically in 2016 as the outcome of major world events and the market reaction to them confounded pundits.
We’re a month away from the US Presidential election and while that might bring sighs of relief, it may also prompt feelings of trepidation. Never before have we seen a more loathed pair of characters running for the presidency than in 2016.
