TRUMP is Back! What It Means for Your Super & Investments

TRUMP is Back! What It Means for Your Super & Investments

With the recent US election, you might be wondering what impact it could have on the markets—and your superannuation or investments.

For our clients, rest assured: our approach remains steady, as we continue to monitor developments closely with our investment managers.

Don’t Let Headlines Drive Your Decisions

Political events like this often create a lot of news, but remember: short-term reactions aren’t always the best guide for long-term investment decisions. We’re here to help you stay focused and make confident choices, no matter what’s in the headlines.

How Election Results May Impact Markets

With Donald Trump winning the Presidency and the Senate, he’s expected to pursue his economic policies, though with some limitations, as the House of Representatives remains up for grabs which may curb his ability to deliver on all his plans – depending on how the outcome lands.

In response, we’ve seen some market movements: the US dollar has strengthened, and government bond yields have risen. When bond yields rise, it usually signals that investors expect higher inflation or economic growth, potentially leading to higher interest rates. But there’s still a lot of uncertainty, and these shifts may adjust as more details emerge.

Taking a Long-Term View on Investments

At times like these, a diversified approach is key. Investments diversified across different assets—such as local and international shares, bonds, cash and other investments—are better positioned to handle these ups and downs.

When markets are uncertain, it’s natural to wonder whether you should hold, sell, or buy.

Here’s our guidance:

1.       Stay the Course: Focus on managing risks, staying informed, and sticking to a long-term plan.

2.       Look for Opportunities: Sometimes, periods of market change can offer opportunities to purchase assets at good value for the future.

We hope this perspective gives you confidence during this time of change. Remember, we’re here to support you with any questions you may have. Message us with 'help' and we will reach out.

This blog contains information that is general in nature. It does not constitute financial or taxation advice. The information does not take into account your objectives, needs and circumstances. We recommend that you obtain investment and taxation advice specific to your investment objectives, financial situation and particular needs before making any investment decision or acting on any of the information contained in this document. Subject to law, Cobalt Advisers Pty Ltd nor their directors, employees or authorised representatives, do not give any representation or warranty as to the reliability, accuracy or completeness of the information; or accepts any responsibility for any person acting, or refraining from acting, on the basis of the information contained in this document.