The market limped 27 points higher to 7488 this week and there were plenty more results through. They’ll continue thick and fast until the end of the month. Amidst this white noise of figures, there are some interesting results being released.
In this episode Morrissey Group Wealth Advisor, Ben Morrissey, is joined by OpenInvest CEO and Co-Founder, Mr Andrew Varlamos.
Last year the Covid-19 pandemic saw the rise of speculative trading in shares both here and around the world as people were stuck at home in lockdowns looking for some form of entertainment. Online broking platforms such as Robinhood and Superhero provided small investors low or no cost access to the stock market. Armed with tips from golf buddies, the desire to take control themselves or just relief from the boredom, speculative trading in markets looks to be at an all time high.
But "Free" never comes without some cost, and many unadvised investors are missing out on some much needed professional assistance.
Enter OpenInvest. A forward thinking technology company enabling smaller investors to gain access to a professionally managed portfolio that would otherwise be reserved for those dealing directly with a broker or financial planner.
The future of Wealth Management is borderless, and it is companies with the vision and the technological knowhow that are changing the game and opening channels to connect professionals with would-be-investors.
The big news this week was the Woodside Petroleum/BHP Petroleum tie up which I’ll get onto later in the report. But the oil and gas space is already consolidating here; first Santos and Oil Search getting together, now Woodside is buying BHP’s Petroleum division. Is Beach Petroleum at risk of takeover?
The market slipped for the first time this week since early July, falling 2.2% to 7461. Australia’s unemployment rate fell from 4.9% to 4.6%, but the participation rate also fell marginally from 66.2% to 66% and underemployment rose from 7.9% to 8.3%.
On a seemingly unstoppable roll, the market rose another 1.2% this week rising to 7629. In the US their reporting season has nearly come to a close, producing some exceptional results with 87% of the S&P 500 beating earnings expectations and providing encouragement and justification to buyers. I doubt this can continue.
Locally, insurers Suncorp, QBE and IAG made large profits because they’ve increased premiums pretty aggressively and no one can do anything so claims aren’t being triggered. Elsewhere commodity prices roll on like ocean swell, iron ore falling to $160/tonne and coal continuing its rise.
Based in Melbourne, the Morrissey Group find themselves back in lockdown for the sixth time; and this time round we're joined by most of the eastern seaboard.
15 million people are locked in their homes in an attempt to stop the spread of COVID-19 with so many industries shutdown creating ever mounting economic and psychological pressure. But despite our three most populous cities being closed-for-business, our stock market is trading at record highs.
Join Morrissey Group advisors, Ben Morrissey and Alex Henderson, as they look at Australia's current economic environment in comparison to some of our global peers. We may have won the 2020 elimination battle, but at what cost? And do we now find ourselves in the unenviable position of potentially losing the war?
The market continued on its steady rise, up a full 2% this week. The big miners suffered a little, banks and healthcare were strong, but the big move came from a company that didn’t even exist seven years ago.
The MG Alpha portfolio rose 39.6% for Financial Year 2021, with the broader market rising 23.99%. For the quarter we trailed the ASX 200 rising 3.6% versus 7.7%. The pandemic related panic allowed us to accumulate positions in the banks, major miners and beaten up property trusts and high yield credit income funds, which will prove worthwhile acquisitions in years to come.
Inflation concerns returned in the US this week, initially setting the tone for global markets. Our market looked to be substantially weaker, but the now regularly recurring buying strength returned, resulting in the ASX200 rising 0.6%.
We are in the midst of a large number of quarterly and half yearly reports being released so I’ll cut straight to it.
No point talking about it really, in we go again.
The ASX200 rose 1% in another scrambly sort of a week; directionless but still ended up. Incredibly unemployment dropped again, this time to 4.9%. The actual number of unemployed dropped by 22,000 to 679,000. The participation rate remained steady at 66.2% and underemployment (those seeking more work than they have) increased by 0.5% to 7.9%.
Welcome back to The Morrissey Exchange as we pick up where we left off last time.
Join Morrissey Group advisers, Ben Morrissey and Alex Henderson, for part two of their discussion with Shaw and Partners’ Head of Research, Mr Andrew Hines.
In our last episode, Andrew talked us through the nuances of the Iron Ore markets, however conversation this week has turned to the energy sector and the world’s quest for a cleaner alternative. What was wrong now looks right. Has Nuclear Energy come full circle to answer our carbon emissions quandary? Welcome to the upside-down.
Sit back and enjoy the second half of our discussion with the ever insightful and observant, Andrew Hines.
Another wild one this week; the volatility continued here and overseas. At the time of writing this note, we had risen a total of 9 points for the week but will have changed by the time you receive this. We’re sending today’s weekly prior to the end of trade because we are moving offices- 20 metres down the road in fact.
Speak with one of our friendly team members today.
