Managing listed real estate investments on a global basis allows opportunities to be taken anywhere, and as demographics affects property, move into different sectors and countries. But ultimately, all property is local.
Tag Archives | global exposure
Thematic trend investors relies more on recognising how the world is changing over the long term, and finding sectors that will benefit, rather than the more cyclical approach of picking short-term winners.
In the US, ETFs represent about 16% of the entire managed fund space, but in Australia, it is only 1.5%. With many strategies available including Active ETFs, the growth outlook is strong.
In many valuations, the ‘Golden Rule’ is being broken. Earnings growth is assuming the sort of strong economic activity that would trigger higher interest rates, yet investors are delinking the two.
Many investors in global portfolios overlook the currency exposure and should consider leaving hedging decisions to specialists. There is no single optimal hedging strategy as conditions vary over time.
Listed Investment Companies (LICs) with international exposures delivered the best results in the last 12 months, showing the Australian focus of most local investors would benefit from greater diversification.
UCITS may be an unknown structure to most Australian investors, but it has been an amazing success around the world, and a special ASIC exemption may increase its use in Australia with easier access to the same system.
Delving into how ATO statisticians compile SMSF data on allocations to global equities shows the information has been misinterpreted. SMSFs are still underweight global, but not as much as analysts claim.