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Edition: 243

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Cuffelinks Newsletter Edition 243

  • 9 March 2018

How imputation really works, Hamish Douglass on high risk, guns in banks, manager attribution, new thinking on retirement, bond defaults, inside SMSFs.

Let’s get the numbers right on imputation

Every day, an expert writes somewhere about the adverse impact of a reduction in franking credits due to a lower company tax rate. This tax rate has no impact on the after-tax returns received by Australian shareholders.

US fiscal stimulus may prove reckless

Global stock markets could face the most volatile period since 2008-09. The danger is that US fiscal stimulus could fan inflation and lead to higher-than-expected interest rates. Risks are asymmetric to the downside.

Five ways to check attribution by active managers

It’s worth deciphering how active 'active managers' are, whether their outperformance is sustainable, whether they cancel each other out and whether they are true to label. Know what you're paying for.

GPS Framework: A new way to think about SMSF retirement income

In retirement, it is the level of spending rather than investment returns which is the primary determinant of retirement outcomes, and there is a significant difference in spending patterns in later years.

What the surveys of SMSF investments reveal

Pension SMSFs will soon equal the number in accumulation, and the latest SMSF investment surveys reveal that changes in the 2016 Federal budget had a strong impact on investment patterns and flows.

Defaults low but no room for complacency

Many retail investors have turned to unrated or high-yield corporate bonds in recent years, but conditions have been favourable. Watch for the once-a-decade spikes in default rates.

Guns, banks, innocence and a Trump warning

In the 1970s, bank branches had pistols in the teller drawers and cupboards, but behind the accidents and hilarious stories lies a grim truth that is a warning to Trump's crazy idea to arm teachers.

Most viewed in recent weeks

Testamentary trusts post-budget: Estate planning, tax reform and the ‘death tax’ debate

Proposed Budget changes to taxation are casting new uncertainty over testamentary trusts, prompting closer scrutiny of estate planning structures and the real implications of reforms still taking shape.

High quality businesses are on sale

Beneath the dominance of the ASX's largest stocks, much of the market has been left behind. High-quality companies are now trading at levels rarely seen, offering opportunities for investors willing to look deeper.

Meg on SMSFs: The CGT changes don’t impact super but what about Div 296 tax decisions?

New CGT rules could tip the scales in the super vs non-super debate. For those facing the Division 296 tax, the case for withdrawing has gotten more complex. A "comparison rate" tool may help assess decisions.

The strange effect of the 30% minimum capital gains tax

The 30% minimum tax on capital gains sits at the heart of the budget's proposed reforms. Yet the mechanics reveal anomalies that introduce unexpected distortions that raise questions about its design.

Ranking three common retirement strategies

The defining challenge of retirement isn't just about building wealth, it's about converting your lifetime savings into sustainable income. A holistic understanding of different strategies can improve long-term outcomes.

Welcome to Firstlinks Edition 667 with weekend update

The downfall of the giant and three lessons for investors.

  • 18 June 2026

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