Sequoia Wealth Management

True to form, US stocks are outperforming Aussie shares on the back of a resurgence in technology-related company valuations. Economists warn against straying from diversification, however, with Aussie miners still offering investors capital returns on top of an underlying hedge against a US downturn.

ETFs have “well and truly taken over from actively managed funds” in investor preference for growth investments, advisers say – but when it comes to cash, they recommend eschewing the increasingly popular ETFs in favour of direct investments.

US technology stocks have suffered steep losses over the last year as interest rates have marched higher. But with the Fed now signalling reductions in future rate hikes, value could emerge in tech stocks with strong fundamentals.