22 March 2022
BUSSQ's Balanced Growth Super option and Balanced Growth Income account option for the 2021-22 financial year to 28 February 2022 have returned -0.09% and 0.83% respectively.
The Russian invasion of Ukraine triggered a steep decline in share markets towards the end of February, but a slight recovery followed as global sanctions started to be imposed on politicians and oligarchs who support the Russian regime. These sanctions have come at a great cost to listed Russian equities and the Russian Ruble. The Moscow exchange remains closed however, where equities have a listing on another stock exchange in some cases individual stock values have seen a reduction of up to 99% of their market value. There is a real concern now that Russia will default on its sovereign debt.
BUSSQ has held a very small allocation of Russian equities, however our investment managers are disposing of these stocks as soon as possible in line with Russia being removed from the global MSCI (Morgan Stanley Capital International) benchmark.
Globally investors sought safe havens in gold and US government debt and this has led to a sharp fall in global shares. Similarly, Australian shares experienced a volatile February however ended slightly ahead of where they began, sitting at 2.14% at the end of February. Financial and mining stocks also had positive returns while technology stocks continued to move downwards.
To see our latest investment returns, visit our monthly investment performance page.
Past performance is not a reliable indicator of future performance. Returns are after tax on investment earnings, where applicable, and indirect costs. This article provides general information only and does not take into account your personal financial situation or needs. Before acting, you should consider the appropriateness of the information to your needs or obtain financial advice tailored for your personal circumstances. Prepared by BUSS(Queensland) Pty Ltd (ABN 15 065 081 281, AFSL 237860) as Trustee for BUSSQ (BUSSQ Fund, ABN 85 571 332 201).