July 2023 Client Investment Update

from Neil Kendall - Managing Director of Tupicoffs, The Independent Financial Planners

The 2022-2023 financial year ended on June 30th, and Tupicoffs celebrated its 53rd birthday on July 4th. Markets performed as expected with a positive turnaround in the last financial year.

Account balances may now see a temporary drop due to distributions and dividends being paid out, but we are positive they will recover shortly. We expect that inflation and interest rates will continue to dominate markets for the next couple of years, but share markets are still expected to rise.

Despite the inflation and interest rate stress, business profitability has remained strong, indicating a likelihood of good investment returns in the next 12 months.

The government stimulus is competing with interest rate increases, impacting the pace of inflation reduction. Unemployment is expected to increase from its unsustainably low rate, which may again affect inflation and wages.

The portfolios recommended by Tupicoffs remain appropriate considering the current economic factors, and they will be monitored closely as the situation evolves.