InvestSMART

InvestSMART's Performance for the June quarter

A strong twelve months for the InvestSMART Diversified Portfolios
By · 17 Jul 2023
By ·
17 Jul 2023 · 5 min read
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Diversified ETF Portfolios

Investors looking for a mix of asset classes in one portfolio.

Portfolio Description Download Report More Info
Conservative Portfolio Designed for investors looking for a better return than cash or saving for the short-term. Download PDF More info
Balanced Portfolio Designed for investors who seek a balanced investment solution between defensive & growth assets. Download PDF More info
Growth Portfolio Designed for investors who are looking to build their wealth over the medium-term. Download PDF More info
High Growth Portfolio Designed for investors who are looking to build their wealth over the longer-term. Download PDF More info
Ethical Growth Portfolio A simple, cost-effective way to invest in a diversified ethical portfolio without the usual high fees Download PDF More info

Single Asset Class ETF Portfolios

Investors looking to gain access to a sector specific asset class.

Portfolio

Description Download Report More Info
International Equities Portfolio Designed to provide investors the ability to tap into the high potential growth of global markets and aid in portfolio diversification. Download PDF More info
Property and Infrastructure Portfolio Designed for investors looking to diversify their property exposure or tap into the income & capital growth potential from the commercial property market generally inaccessible to the public. Download PDF More info
Hybrid Income Portfolio Designed for investors an opportunity to diversify their income stream, with a portfolio of predominantly ASX-listed hybrid securities. Download PDF More info

Outstanding results, what a difference a year makes:

Following a turbulent year, the InvestSMART diversified portfolios rose in the 2023 financial year delivering between 4.36% - 14.64% positive returns.

These results once again show why investing with a short-term mindset will lead to missed opportunities. Research consistently shows that investors who stay the course and invest for the long term will achieve greater returns than the crowd.

Investment returns in the portfolios

International and Australian equities led gains across the InvestSMART diversified portfolios. Following a difficult financial year for both asset classes in 2022, financial year 2023 has been like night and day.

ASX:VGS returned 22.65%, with the US, Japan and European equities all contributing to the gains. The AI ‘revolution’ was a massive factor, with strong performance from major stocks such as Apple, Microsoft, Meta (Facebook) and now Nvidia.

Like its international peers, the ASX 200 looked through concerns around higher rates, high inflation and household pressures. In FY22 Australian shares (represented by ASX:IOZ) fell 6.16%, in FY23 Australian shares rose 14.2%. Growth sectors were responsible for the strong results, with IT and materials the standouts.

It is prudent to point out that FY24, international and Australian equities still face the concerns that plagued 2023. Furthermore, these returns are atypical – the average return since inception for VGS is 12.3% and IOZ is 7.8%.

The key takeaway message for investors is: You can’t predict what markets will do from year-to-year. Selling when markets are low because of loss aversion means you’ll almost certainly miss out on great returns in the future.

The best thing you can do is invest with your long-term goals in mind, stay diversified, keep your fees low and invest regularly.

One of the main reasons InvestSMART consistently outperforms most of our peers is because of our low fees of 0.55% capped* at $550 p.a no matter how much money you invest.

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Mitchell Sneddon
Mitchell Sneddon
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