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Edition: 245

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Cuffelinks Newsletter Edition 245

  • 23 March 2018

Imputation credit class war, impact on hybrids, women losing super rights, retirees not spending, downsizer checks, rate prospects, luxury goods.

Back to basics shows franking credit refunds are fair

The current system is fundamentally fair as domestic shareholders pay tax on fully franked dividends at their own tax rate. This is what imputation should achieve and why we need franking credits refunded.

Women’s super needs protection of reversionary benefits

Treasury is designing guidelines for retirement products which virtually preclude reversionary benefits, and yet these usually accrue to women when the male partner with more superannuation dies.

Impact on hybrids of Labor’s franking policy

Doubts about the value of franking credits under Labor's proposed policy have already led to a rise in spreads on hybrids, which might throw up good investment opportunities.

Five reasons Australian rates unlikely to follow US

It's not long ago when Australian bond rates were well above US bond rates, and now they are the same in the 10 years. Factors affecting Australian monetary policy will not mirror US rises through 2018.

Four checks for super downsizer contributions

The new downsizer contribution legislation can assist older Australians to contribute to super by selling their main residence (without actually downsizing) but could affect their age pension.

Why do most retirees spend less than the age pension?

There are many unanswered questions about why retirees spend so little in retirement, but perhaps it is a form of insurance against longevity risk.

How to stay focussed in volatile markets

Many investors react poorly to market falls, although they should be accepted as frequent and part of investing. It’s best to know how you respond to your behavioural biases, and prepare for them in advance.

Investors profit from demand for luxury goods

There are more opportunities on offer in the larger and more diverse economies overseas, especially in companies with sizeable untapped market potential and an insulation from normal market forces.

Most viewed in recent weeks

2 billion reasons to fix retirement income

A proposal to address Australia's 'stranded balances' in retirement by requiring super funds to transition members to pension phase at 65, boosting retirement income and reframing super as a source of income.

The ultimate superannuation EOFY checklist 2026

Here is a checklist of 28 important issues you should address before June 30 to ensure your SMSF or other super fund is in order and that you are making the most of the strategies available.

Noel Whittaker’s take on the budget

Marketed as a fix for inequality and housing affordability, the latest budget instead delivers a tangle of tax changes that leave everyday Australians worse off.

Australia has no death duties. Technically.

Australia may not levy formal death duties, but a growing web of tax measures is quietly shaping what wealth passes between generations. Now, the 2026 budget adds another layer.

Two months into retirement

A retirement researcher's take on retirement and her focus on each of her six resource buckets to stay engaged during the transition and beyond.

Welcome to Firstlinks Edition 662 with weekend update

The debate over the budget is increasingly shaped by frustration and perceptions of unfairness, rather than clear-eyed assessment of policy outcomes.

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