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Edition: 14

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Edition 14

  • 10 May 2013

Nobel Laureate Harry Markowitz, APRA stings public super funds and IMAs, accountants realising latent value, Council of Superannuation Custodians and the perils of peer reviews.

The Harry Markowitz Interview, Part 1: Portfolio Selection

Harry Markowitz, the 1990 Nobel Laureate and Pensions & Investments Magazine's 'Man of the Century', explains his views on risks and returns and how he arrived at his Modern Portfolio Theory and Efficient Frontier.

Peering into peer risk

Two linked factors explain and justify our concern for rank relative to our peers, one largely psychological and sociological, and the other primarily economic. But what are the risks of performance anxiety?

Accounting may finally be sexy

Accountancy practices have been a poor second cousin to financial planning businesses in terms of sale price and merger and acquisition activity. Here’s why that might change soon.

APRA confirms SMSFs as retail but public funds stranded

Anyone responsible for product design and pricing in the superannuation industry needs an understanding of the revised Australian Prudential Standards on bank liquidity. Some creative solutions may be needed.

Has APRA also delivered a blow to Separately Managed Accounts?

APRA has given a clearer definition of the term 'financial institution', and it may be broad enough to catch a wide range of client-authorised activity, including Separately Managed Accounts.

Bring on the Council of Superannuation Custodians

Research now backs up the anecdotal claims that SMSF trustee confidence in the superannuation system is declining. The proposed Council with its independence and long term view will help address this.

Most viewed in recent weeks

Will you run out of money in retirement?

Fear of running out has become a defining retirement anxiety. Why do some retirees die with substantial wealth while others deplete their nest egg? Evidence suggests the answer is more complicated than we think. 

Why spending more in early retirement can improve lifetime income

Conventional wisdom encourages retirees to preserve superannuation. But if those likely to qualify for the Age Pension later in life spend a little more today, it may deliver higher lifetime income and a more stable retirement.

The investment that sidesteps the new tax traps

Tax rules have changed, but many investors are still using yesterday’s strategies. Insurance bonds may offer advantages for those seeking greater control, tax efficiency and certainty about their wealth.

Testamentary trusts have secured the CGT exemption

Treasury’s latest CGT reform draft delivers a win for testamentary trusts and deceased estates, exempting estate-derived gains from the 30% floor. However, questions on death and divorce rollovers remain unresolved.

Meg on SMSFs: What do we think about reversionary pensions these days?

Reversionary pensions have long been a staple of SMSF estate planning, but are they still the best option? Meg Heffron revisits a once-clear favourite and asks whether changing super rules have shifted the balance.

How does the 4% rule stack up?

The 4% rule has long been retirement's gold standard. But after a difficult period for investors, fresh analysis suggests a more conservative approach may significantly improve the chances of making savings last.

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