In Brief

Markets worldwide lurched downward this month and Pacific markets were no exception. And both Western and Eastern Pacific currencies continued their decline against the dollar, lowering the dollar value of shares quoted in those countries.However, currency declines are not a reason to exit your investments… Read More

Markets fluctuated this month but ended up flat, with the MSCI AC Pacific Index being flat on the month but remaining down 7% over the three months since Pacific Wealth started. The major influence was China, which recovered partially from the 32% fall in the Shanghai stock market, helped by… Read More

Welcome again to Pacific Wealth, which launched last month against something of a market headwind. The MSCI Barra Pacific Index was down 4.4% on the month, with much of the drop occurring in the last week.What’s more, Japan, in which we are deliberately underweighted compared with its 41% weight in… Read More

Rapid economic growth, whether in a country or a sector, is the holy grail of investing. When you have that, valuations that initially appear expensive become cheap and stock prices grow, sometimes strongly, for years. By and large, rapidly growing companies in a slowly growing environment either slow their growth… Read More

China is Australia’s largest trading partner, and China’s economy is slowing. At a 7% annualized growth in gross domestic product (GDP) reported for this year’s first quarter, most countries would trade with China in a heartbeat. That growth rate is down from 7.3% in 2014’s fourth quarter, but on the… Read More

The outlook for the Australian economy is increasingly uncertain, as odds of The Lucky Country’s first recession in more than two decades are increasing. Data from the Australian Bureau of Statistics reveal that wage growth during the fourth quarter of 2014 matched a record-low pace.The unemployment rate Down Under is… Read More

The Reserve Bank of Australia has gone into crisis mode now that the country’s commodities boom appears to be over, but that shouldn’t affect investors looking to mine the rich dividends from many of the country’s premium companies. Yes, the overnight cash rate is now at 2.25% after the central bank… Read More