Unlike most advisers, we don’t just focus internationally, but also here at home. Often, the promise of great returns leads to a large exposure to international assets, so here at Avenue Advice, we pride ourselves in our portfolio diversification strategy which has a New Zealand and Australian Bias.
Modern portfolio theory dictates that you should have only a small exposure to this area, however there are a range of factors that make a home bias more enticing, including the fact that both the New Zealand & Australia economies are strong. Government Balance sheets are well managed, clearly defined rules are in place through legislation, so the safe haven of Australasia in times of volatility cannot be discounted.
We focus on listed companies, and drive a traditionally more dividend and income focused investment strategy. The result of this is a removal of a large part of the currency risk, and a simpler tax situation.