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Cuffelinks Newsletter Edition 277

  • 26 October 2018

Owen on big bank failings, your Factfulness results, sustainable returns, SMSF pros, S&P scorecard shortcomings, choice paralysis, and super problems.

The sorry tale of our big banks

The history of the Big Four banks is littered with bad strategies by overpaid executives, taxpayer-funded rescues and a lack of competition. As the banks clean up the Royal Commission mess, Macquarie has overall done better.

Results: Factfulness of Australians and Cuffelinks readers

We had an outstanding participation rate for the Factfulness quiz. Our readers did well compared with Australia and the rest of the world, but perhaps not as well as expected.

Sustainable investing focuses on the future

A better approach to sustainable investing is to actively select for better ESG scores and identify companies with a positive impact. Fund managers have an important advocacy role.

Six advantages of an SMSF

In considering whether setting up an SMSF is the right decision for you, weigh up compliance obligations and cost with the main advantages SMSFs offer over other super funds. The 6 key positives are enumerated here.

Three key issues with S&P’s index v passive scorecard

The SPIVA Scorecard suggests that most Australian actively-managed funds underperform comparable market indexes, but this analysis can be challenged by a number of key assumptions.

When customised solutions ruin a company

Contrary to traditional economic models, excess choice can be bewildering to consumers. Some customisation-from-scratch businesses are failing, and half-way solutions might be better.

Super is worsening for self-funded retirees

Increases in longevity, and the numerous changes to the super system since inception, have mostly worked against self-funded retirees. Meanwhile, politicians and bureaucrats enjoy far superior retirement benefits.

Most viewed in recent weeks

The growing debt burden of retiring Australians

More Australians are retiring with larger mortgages and less super. This paper explores how unlocking housing wealth can help ease the nation’s growing retirement cashflow crunch.

Four best-ever charts for every adviser and investor

In any year since 1875, if you'd invested in the ASX, turned away and come back eight years later, your average return would be 120% with no negative periods. It's just one of the must-have stats that all investors should know.

LICs vs ETFs – which perform best?

With investor sentiment shifting and ETFs surging ahead, we pit Australia’s biggest LICs against their ETF rivals to see which delivers better returns over the short and long term. The results are revealing.

Family trusts: Are they still worth it?

Family trusts remain a core structure for wealth management, but rising ATO scrutiny and complex compliance raise questions about their ongoing value. Are the benefits still worth the administrative burden?

13 ways to save money on your tax - legally

Thoughtful tax planning is a cornerstone of successful investing. This highlights 13 legal ways that you can reduce tax, preserve capital, and enhance long-term wealth across super, property, and shares.

Our experts on Jim Chalmers' super tax backdown

Labor has caved to pressure on key parts of the Division 296 tax, though also added some important nuances. Here are six experts’ views on the changes and what they mean for you.        

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