Core ETF Portfolio

For those seeking a dynamically managed, balanced ETF portfolio

About the Portfolio

The Market Matters Core ETF Portfolio includes equity, fixed-income and alternative asset ETFs to populate a core portfolio within a well-defined (yet dynamic) asset allocation structure, broadly considered to be a balanced approach. The portfolio could serve as the ‘core’ for a broad range of more passively minded investors

**Portfolio Performance** UPDATED 31/03/2024 17:00
Portfolio	1 M	3 M	6 M	1Y	3Y pa	ITD PA*
CORE ETF	3.18%	6.23%	11.81%	-	-	10.68%
RBA CASH RATE +3%	0.61%	1.81%	3.62%	-	-	6.78%
VALUE ADD	+2.57%	+4.42%	+8.19%	-	-	+3.90%

* Inception date 19/04/2023

**Portfolio Holdings** 20 MINUTES DELAYED trade now
COMPANY CODE	STOCK NAME	WEIGHT (%)	RISK	TIME HORIZON	ENTRY DATE	ENTRY PRICE ($)	LAST PRICE ($)	DIVIDEND ($)	DAILY CHANGE (%)	GAIN / LOSS (%)
A200	BetaShares Australian 200 ETF	20	Moderate	Long	19/04/2023	122.33	126.39	6.36	-1.40	8.52
VSO	Vanguard MSCI Aus Small Companies Index ETF	8	High	Long	19/04/2023	63.24	64.68	2.23	-1.31	5.80
VGS	Vanguard MSCI Index International Shares ETF (ex-Aus)	13	Moderate	Long	19/04/2023	100.55	120.62	3.36	-0.44	23.30
MVA	VanEck Australian Property ETF	10	Medium	Long	19/04/2023	20.96	21.01	1.10	-2.23	5.49
IAF	iShares Core Composite Bond ETF	17	Low	Long	19/04/2023	101.94	98.87	1.68	-0.64	-1.36
HBRD	BetaShares Active Australian Hybrids Fund	13	Low	Long	19/04/2023	10.01	10.15	0.64	0.10	7.79
IFRA	VanEck FTSE Global Infra (Hedged) ETF	5	Low	Long	19/04/2023	21.00	19.69	0.73	-0.46	-2.76
GOLD	Global X Physical Gold	5	Medium	Long	19/04/2023	27.56	32.97		0.12	19.63
AAA	BetaShares Aus High Interest Cash ETF	9	Low	Long	19/04/2023	50.16	50.25	1.92	0.02	4.01

OPINION
ACTION

Opinions for positions held in the Core ETF Portfolio

26/04/2024 09:13

First Up

So the market, and especially different stocks/sectors, have had a day to contemplate a potential rate hike in 2024, a 180-degree change in sentiment in just a couple of months. Credit markets are now becoming too hawkish, and opportunities are likely to present themselves in the rate-sensitive pockets of the ASX as we will discuss later in this report. On top of this, we’ve had a number of important companies report and one colossal takeover announced, all in just 24 hours.

24/04/2024 09:26

First Up

Bond markets have struggled over recent weeks as inflation appeared increasingly “sticky,” but it hardly registers on the chart compared to their weakness through 2021/2 and mid-2023. We believe the local credit markets have come back to realistic levels as the RBA awaits further economic data to deliver clarity on the underlying strength and direction of the local economy. Traders have gone from being far too optimistic on rate cuts into Christmas to becoming almost pessimistic; the US futures markets have gone from pricing in three cuts to 1.77 cuts, or one definitely, and probably two.

23/04/2024 08:57

First Up

The ASX200 bounced over 1% on Monday, with gains by 10 out of 11 sectors and 85% of the main board, but it was the heavyweight end of town that dragged the market back towards 7650, e.g. CSL Ltd (CSL) +2.2%, BHP Group (BHP) +1.8%, and Commonwealth Bank (CBA) +0.9%. The market was up over 100 points early in the session, but another “sell recommendation” on the banks weighed on the sector and, by definition, the index, i.e. the “Big Four Banks”, plus Macquarie Group (MQG) represent 22.5% of the ASX200 by market cap. - more on this later. The ASX is not out of the woods, but it has already retraced 40% of April's pullback in just two sessions.

22/04/2024 09:08

Equity Indices

The ASX200 started to unwind last week, taking its recent pullback to more than 5%; it felt far worse into Friday lunchtime. Capitulation-like selling washed through the ASX at the end of last week as we heard that Israel had launched attacks on Iran. However, ironically, crude oil finished the week noticeably lower, and gold failed to make new highs, implying plenty of the Middle East news is already built into markets.

19/04/2024 09:15

First Up

The ASX200 rebounded nicely, ending a 5-day losing streak on Thursday; only 65% of the market closed higher, but when the “Big Four” banks join forces with BHP in the winner's enclosure, it's usually good news on the index level. It felt like a busy day under the hood, but only 1% of the main board moved by over 5% as school holidays kept volumes subdued and recent geopolitical and macroeconomic uncertainties kept investors second-guessing what the next chapter will deliver for equities – more on this later.

18/04/2024 09:03

First Up

Wednesday was a choppy but ultimately non-eventful session, especially compared to Tuesday's aggressive sell-off. The market finally closed down less than -0.1%, with over 60% of the main board closing higher, but weakness in BHP Group (BHP), Commonwealth Bank (CBA) and CSL Ltd (CSL) was enough to drag the index lower. Overall, considering the previous night’s comments from Jerome Powell, the market felt resilient in the face of interest rate concerns.

17/04/2024 09:37

New Suncorp Hybrid – Capital Notes 5 (SUNPJ)

Yesterday, Suncorp announced a new hybrid offer launching the Capital Notes 5, looking to raise approx. $300m in Tier 1 equity through the deal. The offer includes a new money portion, though holders of Suncorp Capital Notes 2 (SUNPG) will also have the opportunity to roll and likely make up the bulk of the deal given the new offer is smaller (at this stage) than the $375m Capital Notes 2.

17/04/2024 09:32

First Up

Bond markets have been struggling over recent weeks as inflations appeared increasingly “sticky.” Fed members kept telling us their preferred economic path is three rate cuts in 2024, but the futures market is painting a very different picture – a few weeks ago, a rate cut in June was all but pencilled in by traders, now there's only a 50% hope that Jerome Powell will announce a rate cut in July. Bond markets, both at home and in the US, have lost their dovish lustre of late.

16/04/2024 09:21

First Up

The ASX200 slipped 0.5% on Monday, a far better result than we feared after Saturday's Iranian attack on Israel. Even with over 75% of the main board closing lower, the market was resilient, helped by some solid buying in the influential Resources Sector, which largely offset the broader losses – more on this later. Although Iran's strike may have proved largely ineffective, it has increased geopolitical tensions across the region, which is unlikely to fade away soon. At this stage, local investors continue to consider sell-offs as opportunities to increase exposure to ASX names, with the bull market reticent to surrender ground without a fight.

10/04/2024 09:25

First Up

Overnight, the influential former Federal Bank of St. Louis President James Bullard said he's expecting three rate cuts in 2024 as inflation moves towards the Feds target even while the economy remains resilient, i.e. the “Goldilocks” scenario for stocks. Bullard’s outlook echoed the Fed’s messaging as opposed to the increasing market expectations that two cuts have become more likely than three, e.g. Treasury yields made new highs for the year on Monday night. Mr Bullard is indirectly quoting the old adage of “don’t fight the Fed”.