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Edition: 488

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Welcome to Firstlinks Edition 488 with weekend update

  • 15 December 2022
  • 1

In tennis, it's often the player who makes the least mistakes that wins. Applying this to markets, investors should seek to avoid making silly decisions rather than pursuing brilliance. Here are some practical ways to achieve this aim.

The distortions in our retirement system

The system has incentives that run counter to policy objectives, especially for the age pension taper rate, family home and access to super before it's assessed for the age pension. Here's how to fix these problems.

Wealth management reimagined

The financial advice sector is experiencing a form of market failure where demand for the type of advice now favoured by the industry is limited by the cost of supplying it. Here's how the industry can best move forward.

Time to announce the X-factor for 2022

What is the X-factor - the largely unexpected influence that wasn’t thought about when the year began but came from left field to have powerful effects on investment returns - for 2022? It's time to announce the winner.

What baked-in inflation means for portfolio construction

A difficult macroeconomic backdrop has reinforced the need to maintain a well-balanced portfolio in navigating one of the most unpredictable markets in history. We look at stocks that should prove resilient in choppy markets.

Will investors start tuning in to Spotify again?

Spotify shares have fallen around two-thirds from their peak in 2021. Here are four key reasons why Spotify can materially increase its earning power in future years, making the stock significantly undervalued at present.

How likely is a US recession? About 75%

The odds favour a US recession, albeit a mild one. If Australia can manage an orderly reduction of household debt, then it will give the RBA more flexibility to increase interest rates and bring them in line with US rates.

The legal fallout when a carer becomes a partner

Recently, the NSW Court of Appeal reversed an earlier ruling and declared a live-in carer was in fact a defacto partner. Significant financial consequences for the family could have been avoided with preventative action.

Most viewed in recent weeks

Which generation had it toughest?

Each generation believes its economic challenges were uniquely tough - but what does the data say? A closer look reveals a more nuanced, complex story behind the generational hardship debate. 

Raising the GST to 15%

Treasurer Jim Chalmers aims to tackle tax reform but faces challenges. Previous reviews struggled due to political sensitivities, highlighting the need for comprehensive and politically feasible change.

100 Aussies: seven charts on who earns, pays, and owns

The Labor government is talking up tax reform to lift Australia’s ailing economic growth. Before any changes are made, it’s important to know who pays tax, who owns assets, and how much people have in their super for retirement.

The best way to get rich and retire early

This goes through the different options including shares, property and business ownership and declares a winner, as well as outlining the mindset needed to earn enough to never have to work again.

A perfect storm for housing affordability in Australia

Everyone has a theory as to why housing in Australia is so expensive. There are a lot of different factors at play, from skewed migration patterns to banking trends and housing's status as a national obsession.

Chinese steel - building a Sydney Harbour Bridge every 10 minutes

China's steel production, equivalent to building one Sydney Harbour Bridge every 10 minutes, has driven Australia's economic growth. With China's slowdown, what does this mean for Australia's economy and investments?

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