diversification

The lesser-known link between investment and return

"Investment" actually has two interrelated meanings: a physical investment (machinery, building, cars etc.) and financial investment (stocks and bonds), which lays claim on physical investment and the income (aka "return") it generates. So what is the lesser-known link between investment and return? Productivity.

Slashed dividends | Covid-19 Special Focus

Dividend stocks are a staple of every income investor, and they can play an important role in any portfolio, regardless of age and financial circumstances. But it is very much possible that dividend investors can fall into the trap of hindsight bias if they are not careful and sufficiently diversified.

Diversification a Great Luxury

New Zealanders are not keen on diversifying. NZX makes up 0.01% of the world’s share market capitalisation, but most New Zealand investor portfolios are overly weighted to the home market. In other words, a New Zealand investor with a strong home bias would have just a 7% allocation to technology, compared to approximately 16% in the global portfolios.