Money
Issue No. 3 - December/ 2001/january
managed funds - the better option?
by Tony Catt
As world sharemarkets continue to languish, many investors are now considering their portfolio’s and wondering if there is a better alternative. Share ownership in Australia has grown to unprecedented levels, with significant companies listing on the Australian Stock Exchange such as Telstra, AMP, and NRMA. However, many studies show that the majority of investors hold less than 6 shares in their portfolio.
Too many investors, when owning a direct share portfolio do not analyse their own performance. Due to a lack of time, resources and access to information, investors will discover their share portfolio’s are suffering. Analysis that is necessary is becoming more difficult with increasing globalisation. Examples of this globalisation are BHP Billiton, GKN Brambles and Rio Tinto.
The last 18 months have been particularly difficult to pick any winners in the sharemarket and as economies and finance markets continue to become more complicated, this task isn’t getting any easier. The latest events in the United States has created an even more difficult market to predict, with the threat of war and the repercussions on world economies.
Managed Funds are offering an increasingly more attractive proposition to help investors navigate the minefield of investment. A fund manager will have a large team of investment professionals, including strategists, economists and analysts looking out for opportunities in world markets. This team ...
