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Edition: 574

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Welcome to Firstlinks Edition 574 with weekend update

  • 22 August 2024
  • 1

Much has been made of US stock market concentration of late. In a new report, hedge fund Bridgewater Associates explores how megacaps of the past have risen and fallen in significance, and the takeaways for investors today.

Being right versus making money

Looking back on my own investing, one recurring theme has been a desire to prove that I’m right. Everyone has cognitive biases like this, and the key is to have an investment plan that protects us from acting on our worst instincts.

Warren Buffett's sweetest investment

One of Buffett's most successful investments has been a confectionery company that he bought more than 50 years ago. The investment demonstrates that stocks need not be growth companies to create fortunes.

What happens to your super when you die?

Nominating beneficiaries with your super fund is the only way to direct your death benefits to the people you want to receive it. The steps you take will depend on your circumstances and who your intended beneficiaries are.

Why buying speculative stocks often proves irresistible

So you want to buy a speculative stock in the hope that it goes to the moon and you can retire in the Bahamas. There's only one problem - once you start purchasing these types of stocks, it's often hard to stop.

With rates peaking, the time for bonds has come

It’s likely we’re at or near the end of the rate hiking cycle, which has historically been associated with a peak in yields. This is good news for bonds, which have typically performed strongly in the years following the peak.

Gold’s role in portfolios amidst rising interest rate volatility

Volatility in interest rate expectations and elevated yields may amplify traditional portfolio risks. Gold has a low correlation to equities and bonds and can help improve the performance of portfolios.

Why Olympic bronze medallists are happier than silver medallists

Studies reveal silver to many athletes feels like they have lost, while bronze medallists often think they have won by making it onto the podium ahead of the rest of the field. This has lessons for investors too.

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.

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.        

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?

Preparing for aged care

Whether for yourself or a family member, it’s never too early to start thinking about aged care. This looks at the best ways to plan ahead, as well as the changes coming to aged care from November 1 this year.

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