The latest edition of The Financial Fortnight That Was has been emailed to subscribers. This edition looks at the problems of Active Management. If you would like to receive this free email service go to the Sign Up page found on our website.
Please read on for the latest market news for the fortnight concluding Monday 15th October.
Since our previous edition, Australian and global sharemarkets have had positive fortnights. The S&P ASX200 Index has risen 2.67% from the 1st to the 15th of October, up 18.86% for the calendar year so far. The S&P Global 1200, a measure of the global market, has risen by 0.95% over the same period, placing the index up 12.90% for the year.
Emerging markets saw continued strong growth with the MSCI Emerging Markets Index rising 5.46% for the fortnight and is now up 35.16% for the year so far.
Property trusts have had mixed performances over the past fortnight with the S&P ASX 200 Property Trust Index rising by 1.35%, to be up 1.75% for the year so far. The S&P/Citigroup Global Real Estate Investment Trust (REIT) Index, a measure of the global property market, however fell slightly, 0.14 % for the fortnight, and has fallen 2.04% this year so far.
As of 4pm the 15th October, the value of the Australian dollar had again risen over the past fortnight with the Aussie dollar up 2.43% against the US Dollar at .9057, up 14.46% for the year so far, and up 3.55% against the Trade Weighted Index at 71.7, now up 10.48% for the year so far. (The Trade Weighted Index measures The Australian dollar against a basket of foreign currencies.)
The Australian Bureau of Statistics has released the Australian labour market statistics for September with the unemployment rate falling to 4.2%.
As you will all be aware, the country is now officially in election mode with the Prime Minister calling the election to be held on the 24th of November. During the next 6 weeks the government and opposition parties will be releasing policies that will have potential impacts on financial planning and investment strategies.