Benchmarks

Multi-asset returns over the month. Commodities strong again, bond markets materially negative, on the back of the most aggressive tightening cycle seen since 1994.

In the US tech stocks rebounded meaningfully from their sell-off.

Asia and Asia tech had a rebound over the last week, and an almighty sell-off over the month as a function of a) regulatory intervention against state/tech champions (the “social dividend” or “common prosperity” frame) and b) fears of US regulatory push back over the audit access of dual listed companies. For c) you could also include the impact of higher real rates. Australia, with the heavy commodity and banking exposure performed very well on higher prices and higher rates beta.

US homebuilders continue to sell-off, as higher mortgage rates imperil the hither-to-fore very strong US housing market.

Australian homebuilders (especially those with US exposure) sold off as well, with JHX, REH, RWC, and even ABC declining. Otherwise FPH (high multiple) downgrading as Omicron requires less respiratory intervention for afflicted patients, and a generally diverse basket of monthly underperformers.

The outperformers remains largely commodity and banking stocks.

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This document is based on information available at the time of publishing, information which we believe is correct and any opinions, conclusions or forecasts are reasonably held or made as at the time of its compilation, but no warranty is made as to its accuracy, reliability or completeness. To the extent permitted by law, neither Aequitas nor any of its affiliates accept liability to any person for loss or damage arising from the use of the information herein.

Please note that past performance is not a reliable indicator of future performance.

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