Monthly, we update our wholesale investors on what’s happening in the market. Running what’s probably the only late-night trading desk from New Zealand, we’re well-positioned to feel the pulse of the market’s direction.
We rode out a volatile May with a steady return.
The resilience of the global oil market is evident, despite meaningful disruption from Iran.
Markets have also brushed off inflation threats. The first quarter of this year saw US companies grow their earnings almost 30% on average.
For those with funds available in this quarter, you will have seen a kick from Dell Technologies [NYSE:DELL].
Looking for unrecognised AI potential, we noticed in January that their projected AI server revenue was not being well priced. They are more than just a laptop business.
We invested below $120 and have since seen the stock price nudge $470.
The lesson is that inflation doesn’t matter so much when AI-fuelled earnings growth is running at these sorts of levels.
Which leaves us now — again — ploughing against the cycle. In real estate, interest rates do matter. Many of our favoured holdings have seen drawdown, but they maintain strong occupancy and excellent yields.
It might be time to top up for when the cycle turns. Being paid with dividends to wait.
Meanwhile, we’re continuing to build — and bet on — resilience.
Managed Account performance*
For the month of April 2026, we were up 1.27% across the composite portfolio (total aggregate TWR return across all portfolios following the strategy).
Our average annualised return since inception is 13.89% p.a.
Please see our performance chart for more details.
Benchmarking
Our MSCI EAFE benchmark was down 0.07%.
The S&P 500 benchmark was up 5.27%.
Our blended MSCI EAFE/S&P 500 benchmark was up 0.85%.
Opportunity
Building a resilient portfolio, in simple terms, means making yourself ‘hard to kill’.
While tech has pushed a solid return this month, we need to position for that to come off the boil. For inevitable corrections.
That’s why we are pursuing counter-cycle opportunities in real estate, energy, industrials, and more.
There remains very ripe opportunity to deploy.
Regards,
Simon Angelo
Editor, Wealth Morning
*Past performance is not an indicator for future performance. Your actual portfolio will differ from the composite portfolio mentioned. The information contained in this document does not constitute an offer to sell or a solicitation to buy an investment, nor should it be construed as investment advice. Wealth Morning Managed Accounts are available to Eligible Investors and Wholesale Investors (not to Retail Investors) as defined in the Financial Markets Conduct Act (2013).
