Wednesday, 18 September 2019
Recently trending Most investors are wrong on dividend yield as incomeMy 10 biggest investment management lessonsLessons from the Future Fund for retail investorsFour companies riding the healthcare boomFive reasons SMSFs are making asset allocation changes
To avoid retreating from making investment decisions during uncertainty, investors are compelled to rely on 'rules of thumb' to guide them in decision-making. Here are many of the more popular commonly-used rules.
Most companies recognise the benefits of employee diversity for better decision-making, but it's not only about choosing people from different backgrounds. There must be an effective means of aggregating views.
Bond markets are far larger than stockmarkets, and the BBB segments in the largest of all in the corporate market. Many analysts have pointed to potential weaknesses but it pays to look a bit deeper.
Nobody revalues their own home each day in the way they revalue listed equities, but does that mean the value is constant? The daily unit price is calculated in some super funds using unlisted asset valuations.
Housing prices and construction rose dramatically until 2016, and since then, low interest rates are helping home owners weather the storm of falling prices. How long until the blue sky shines again?
The biggest concern that many analysts ignore is that, after house prices begin falling, the savings ratio climbs, reflecting a lack of consumer confidence, leading to a rapid slowdown in the economy.
We may be close to 30 billion connected devices, offering unlimited investment opportunities, but a technology backlash is being fuelled by fear and uncertainty around three burning issues.
The worldwide trend to populism loosens fiscal restraint, leading to asset price inflation and forcing investors to focus on a range of low probability but potentially material risks.
Two tenets of a successful investment philosophy: risk is the permanent loss of capital, and never succumb to either irrational exuberance or unjustified gloom. It takes discipline and strict adherence.
As he prepares for retirement, a Chief Investment Strategist from a major global fund manager summarises what he has learned working through five full business cycles. He says it's time to take risk off the table.
While financial solutions to longevity are worth pursuing, it is more important to educate people on what the late-stages of life are likely to deliver, and the time to prepare is now.
Appointing an enduring Power of Attorney is one of those administrative tasks we often overlook, but it becomes increasingly important as we age. Make sure the attorney understands your needs.
The current yield on a share or trust is simply the latest dividend divided by the current share price, an abstract number at a point in time. What really matters is the income delivered in the long run.
A Chris Cuffe classic article that never ages. Every experienced investor develops a set of beliefs about how markets operate.
The Annual Report from Australia's sovereign wealth fund reveals new ways it is investing in fixed income and alternatives. The Fund considers its portfolio as one overall risk position with downside protection in one asset class allowing more risk in another.
There are strong demographic trends in ageing and consumer spending and investing in the right healthcare companies can ride this wave as well as produce better health outcomes for people.
Substantial changes are underway in SMSFs which until recently held a narrow range of assets dominated by cash, term deposits and Australian equities. Trustees have never faced so many choices.
Changes implemented by super reforms since 1 July 2017 have brought greater incentives for spouses to equalise their superannuation balances, including tax and estate planning benefits.
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