Market Sentiments
Markets were driven by optimism around TACO – Technology, Artificial Intelligence, Credit, and Oil – which became the key investment themes during May.
Asset Class Returns
Australian cash returned 5.02% for the month and 12.36% over one year. Australian bonds dipped slightly in May but held gains of over 10% for the year. International bonds rose 2.55% in the month and 13.36% over the year.
Australian listed property was broadly flat in May but still gained 17.60% over the year. International property delivered 5.34% in May and 6.84% over the year.
Australian shares rose 0.16% for the month, lagging global equities. International shares returned 5.32% in May and 16.81% across the year, while emerging markets grew 5.32% in May and 11.69% for the year.
Market Overviews
Technology and AI were standout drivers of international share performance. Bonds and property also contributed strong annual results. Australian equities underperformed relative to international peers.
Takeaway
May was a strong month for cash, international shares, and global property. The major global growth themes—technology, AI, credit, and oil—helped drive positive sentiment and strong market returns.
