InvestSMART

InvestSMART's Performance for the month of August

The InvestSMART diversified portfolios delivered between 3.56% - 12.82% positive returns for clients for the year to 31 August 2023.
By · 18 Sep 2023
By ·
18 Sep 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

 

The latest GDP figures were announced in September with a ‘soft landing’ being the verdict for the performance of the Australian economy. For those of us who are not economists it means that the economy has started to slow down. This is due to the higher interest rates and inflation we’re all experiencing, which has led to a fall in consumer spending.

So, what does this mean for you as an investor?

If you’re a regular reader of our Insights articles, you’ll know we don’t place a whole lot of weight on short-term market movements. For example: the ASX lost 0.8% on the announcement of the GDP figures, but if you look back over the past 12 months the ASX had a total return of 9.56%.

Our philosophy for investing is to ensure your mix of investments (i.e. your asset allocation) matches your risk tolerance and your investment timeline.

Returns don’t happen in a straight line. No one can predict what will happen with markets here in Australia or abroad. Your one job as an investor is (as stated above) to ensure your portfolio matches your risk profile and then simply hold on to your investments and not interrupt your compounding.

Minor fluctuations in the share market really only affect short-term traders and stock pickers on a day-to-day basis. Most investors who get into trouble are those who are constantly chasing returns.

Plan for the worst, expect the best

We manage our portfolios for ‘systematic risks’ like inflation and higher interest rates through correct asset allocation. If shares fall, your portfolio should be less impacted as it holds bonds and cash.

Diversification is central to managing risk. The beauty of a diversified investment approach is you’re exposed to all corners of the investing world. When one asset class is underperforming, another is likely to be firing. This is why your portfolio holds international and Australian share ETFs, as well as bonds. International and Australian shares represented by ASX:VGS and ASX:IOZ in your portfolio had a total return of 21.83% and 9.26% respectively in the 12 months to 31 August.

InvestSMART Professionally Managed Accounts

The InvestSMART diversified portfolios delivered between 3.56% - 12.82% positive returns for clients for the year to 31 August 2023.

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Mitchell Sneddon
Mitchell Sneddon
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