June 2022 Economic Update – “Goodbye TINA”

Goodbye TINA (there is not alternative), hello TINTH (there is nowhere to hide). The US with its more Tech heavy indices have been moving in negative territory all calendar year and it now seems that the Australian indices have finally caught the bug and moved significantly to the red. The US has now entered a technical bear market (a fall of 20% or more) and Australia has entered a correction (a fall of 10% or more.

Over the past few years, investors referred to the phrase TINA – there is no alternative. That is to say – there is no alternative to investing in growth assets like shares. This was fuelled by the extraordinarily low interest rate environment particularly notable post the GFC. Ultra-low interest rates meant that returns for Bonds were exceptionally low and, in some cases, even negative due to central banks intervening in markets through quantitative easing.

Follow the link to read the full Economic Update 220616_NewsFeed_RoystonCapital.pdf (383 downloads )