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Edition: 241

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Cuffelinks Newsletter Edition 241

  • 23 February 2018

Where robo went wrong, when to hedge currency, resources rebound, super alternatives, multi-asset funds in retirement, death benefits, glide paths.

Kitces Part 1: How robo misunderstood the advice model

Despite the publicity and hype and almost a decade of operation, robo advice businesses in the US have gathered less than 0.1% of assets under management. Why is adoption much slower than expected?

Ensure death benefit nominations are upheld

It’s crucial for super fund or SMSF members to understand the law as it relates to death benefit nominations to ensure desired outcomes are achieved. Don't leave a mess for others to fix.

Currency risk deserves more than a coin toss

Many investors in global portfolios overlook the currency exposure and should consider leaving hedging decisions to specialists. There is no single optimal hedging strategy as conditions vary over time.

Flexibility around the date of your retirement

Superannuation is a good long-term savings vehicle, but it comes with restrictions on contributions and lack of access to money. Retirement savings may be supplemented by other tax-effective structures.

Commodities rebound still running

In the last seven years, commodity prices and the fortunes of many Australian producers went through a boom/bust cycle and are now on a recovery rebound. It's a volatile ride but a sector worth another look.

The role of multi-asset funds in retirement

Fund managers take different approaches to asset allocation, either leaving it unchanged in a 'strategic' position, or responding 'dynamically'. Either way, multi-asset funds have many of the features retirees want.

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Australia's retirement system works brilliantly for some - but not all

The superannuation system has succeeded brilliantly at what it was designed to do: accumulate wealth during working lives. The next challenge is meeting members’ diverse needs in retirement. 

Australian stocks will crush housing over the next decade, 2025 edition

Two years ago, I wrote an article suggesting that the odds favoured ASX shares easily outperforming residential property over the next decade. Here’s an update on where things stand today.

The 3 biggest residential property myths

I am a professional real estate investor who hears a lot of opinions rather than facts from so-called experts on the topic of property. Here are the largest myths when it comes to Australia’s biggest asset class.

AFIC on the speculative ASX boom, opportunities, and LIC discounts

In an interview with Firstlinks, CEO Mark Freeman discusses how speculative ASX stocks have crushed blue chips this year, companies he likes now, and why he’s confident AFIC’s NTA discount will close.

Get set for a bumpy 2026

At this time last year, I forecast that 2025 would likely be a positive year given strong economic prospects and disinflation. The outlook for this year is less clear cut and here is what investors should do.

Where to hide in the ‘everything bubble’

It might not be quite an ‘everything bubble’ but there’s froth in many assets, not just US stocks, right now. It might be time to stress test your portfolio and consider assets that could offer you shelter if trouble is coming.

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