GoodReturns
976520270
BusinessDesk
BusinessDesk
0
0 Comment
Save Story
The Markets

NZ stocks struggle against dismal international headwinds

Tuesday 10th of May 2022

American market heavyweight S&P 500 ended up below 4,000 for the first time since late March 2021 and the tech heavy Nasdaq dropped 4.2% today which created unrest and uncertainty in the New Zealand sharemarket.

The S&P/NZX 50 index fell 152.2 points, or 1.3%, to 11,229.45. Within the broader equity market, an eye-watering 130 stocks fell and only 17 rose. Turnover was $119.9 million.

As if there wasn’t enough geopolitical tension right now, with the world focusing on Russia’s military invasion of Ukraine, China’s zero-covid commitment has also hiked geopolitical concerns and has added to the uncertainty across all international markets over the last couple of days.

The only bright spot in the market’s despondency today was that Russian President Vladimir Putin decided not to escalate Russia’s military invasion in Ukraine after Russia celebrated its World War II victory day yesterday.

Want to read the full article?

Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.

You will also be able to comment on articles on Good Returns.

Sign in
Previous Article Next Article
Latest News
Advice adds at least 5% a year, but clients can’t see most of it
Advice adds at least 5% a year, but clients can’t see most of it
4 min read
Adviser use of ETFs likely to continue to grow, Smart says
Adviser use of ETFs likely to continue to grow, Smart says
2 min read
FMA outlines its latest expectations for advisers
FMA outlines its latest expectations for advisers
6 min read
[Weekly Wrap] KiwiSaver in play; but outcome unclear
[Weekly Wrap] KiwiSaver in play; but outcome unclear
2 min read
The Markets
More Read
NZX 50 falls for a third day as rising oil prices overshadow US tech rally
NZX 50 falls for a third day as rising oil prices overshadow US tech rally
5 min read
NZX 50 slides as Infratil gets caught in souring AI sentiment
NZX 50 slides as Infratil gets caught in souring AI sentiment
4 min read
Rebound from AI concerns dominates global trading but NZX bucks the trend
Rebound from AI concerns dominates global trading but NZX bucks the trend
5 min read
NZX 50 shrugs off hot US inflation to rally from morning low
NZX 50 shrugs off hot US inflation to rally from morning low
4 min read
Latest Comments
FMA outlines its latest expectations for advisers
Paul Flood: The danger is that the 'goalposts' (regarding what is acceptable or unacceptable adviser conduct) may be susceptible to change. Our 'Principles based' legal/regulatory environment lends itself to “prevalence-induced concept change” over time, perhaps not so much in the written laws and Code, as in the interpretation of the prescribed principles.
1 day ago Steve Wright
FMA outlines its latest expectations for advisers
Just a tip, if you use more than six, six letter words in a sentence you lose most Kiwi's. So avoid client/adviser confusion when writing your post or article if you would like it read and understood. Ironically, my last sentence was not likely read.
1 day ago Backstage
FMA outlines its latest expectations for advisers
All things said are great aspirational goals for a great financial advice industry, it mirrors what both the legislation and the code requires. However, like most things discussed it talks about what's expected not how it's done. The hardest aspect of financial advice today isn't what it is, it is how it is done. The how only comes from those that have done it, the how is only provided with examples. Guidance documents that spell out what's required along side how it it done. We’re still dealing with the same issues we started with in 2021, figuring out the how. And figuring out the how in every advice business is consuming resources that could easily be shortcut by the FMA demonstrating what they are expecting. It's not about “do it this way” its about this is the sorts of things we’re looking for. In the absence of standards and expectations, guesswork prevails. That represents significant risk to FAPs and the result is onerous overcooked advice processes for multiple advice operations and undercooked she’ll be right for single operators focused on getting the work done. Both approaches have potential for harm and as its been said earlier, leaves advisers open to explain they haven't been speeding with the authorities have pulled them over. The advice industry needs guidance on the how we know the what already.
3 days ago Jon-Paul Hale
Who is responsible for notifying policy changes?
Sticking an oar in, while we have “service” requirements the expectation that an adviser is responsible for discussing said change is relying heavily on assumption. 1. That the client hasn't moved and contact details haven't been updated. It happens more often than many think. 2. It assumes there is a servicing agreement in place to provide service. Remember the requirement is to scope service not provide it. A client deciding to have ad-hoc service on their request is a legally valid position to have. 3. If there is a service agreement that's realistic to what is expected, how long does the adviser push the issue to have the discussion before moving on with everything else they have to do? Again, a point that is not clear in the guidance to date. The challenge of the present rules is the adviser is responsible for ensuring the client understands the advice provided. How do you ensure you're covering this if a client doesn't engage despite genuine attempts to manage it? There's still a lot of “what if’s” in this whole are we’re only going to have clarity on once someone is taken to task about it. But first we need to have clarity on what ongoing service actually is, because right now demonstrated by the direct providers a letter once per year with a please call if you want to discuss is the current minimum…
3 days ago Jon-Paul Hale
FMA outlines its latest expectations for advisers
To correct errors in my previous post: "policies, templates, and controls" should read "policies, processes, systems and controls", and "is more conductive" should read "is more conducive".
4 days ago Paul Flood