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Edition: 15

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Edition 15

  • 17 May 2013

Lessons from Sir Alex Ferguson, Harry Markowitz and Don Stammer - what a trio! Plus variability of retirement income and the impact of budgets on the stockmarket.

The Harry Markowitz Interview: Retail financial advice

Nobel Laureate Harry Markowitz gave us the foundation of modern portfolio management in 1952, but he is now working on providing online retail financial advice and asset selection according to risk profiles.

How much variability exists in retirement outcomes?

Most financial plans focus on the amount of money required for a comfortable retirement, but knowing the variability of that outcome might change your mind on how much is enough.

The consequences of sustained budget deficits

The Federal Government should run balanced budgets over the economic cycle, otherwise uncertainties build up and costs are imposed because the bills still have to be paid somehow.

Federal Government budgets and their impact on the stockmarket

A look at history shows government deficit years and fiscal tightening have generally been good years for stockmarket returns. 2013-4 will most probably be a deficit year, as is 2012-3.

Leadership lessons from Sir Alex Ferguson

Sir Alex Ferguson is the most successful football manager of all time, but for many years he struggled at Manchester United. Here are some leadership lessons he demonstrated as his teams went on to win 38 trophies.

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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.

Is it time to bail on Australian stocks?

For generations, Australian investors have backed banks, miners and dividends. But has that loyalty come at a cost? A look at the numbers raises an uncomfortable question about where future returns will come from.

Testamentary trusts survived the trust tax. The drafting battle has just begun.

The fight over testamentary trusts looked settled. Then the draft legislation arrived. Hidden in a technical detail is a question that could force many families to rethink wills they thought were already future-proof.

It’s time for LICs to die

A high-profile dividend cut and a prominent fund manager’s apology have reignited a long-running debate. If investors can access similar exposures more cheaply and efficiently elsewhere, what exactly is keeping LICs alive?

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.

The new capital gains tax trap for your portfolio

Investors have long accepted one portfolio rule without much question. A major tax shift could change that calculation entirely, forcing difficult trade-offs between risk, discipline and an overlooked cost lurking beneath.

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