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Edition: 576

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Welcome to Firstlinks Edition 576 with weekend update

  • 5 September 2024
  • 4

New figures reveal older people are divorcing more, while the young are staying together longer. This looks at why these trends are happening, and the ramifications for the economy and the financial system.

The challenges of building a portfolio from scratch

It surprises me how often individual investors and even seasoned financial professionals don’t know the basics of building an investment portfolio. Here is a guide to do just that, as well as the challenges involved.

Clime time: What's left unsaid in Australia's housing bubble

The current difficulties confronting housing policy partially stem from an explosion of mortgage debt. We've engineered a price for housing that will cause a severe problem for future generations – if it isn't addressed.

A $3m super tax could make this strategy attractive again

Transition to Retirement Income Streams have waned in popularity but that could change if the proposed extra tax on super balances above $3 million goes ahead. 60-65-year-olds who are still working could benefit most.

Does a declaration of trust satisfy SMSF separation of asset regulations?

While separation of assets remains one of the most reported contraventions by SMSF auditors, the question is: does a declaration of trust satisfy the requirements of SMSF regulations? There isn't a simple answer.

Stop paying attention

Want to make better investing decisions? Do what the most skilled investors do and find a way to ignore the meaningless information you are bombarded with on a daily basis.

How to unlock the big opportunity in misunderstood small caps

Political turmoil and new regulations have left Europe-listed small caps unloved and under-covered. Taking a 'friendly activist' approach to investing in those with global growth opportunities can reap dividends.

This cornerstone of stock market valuation has been left behind

For decades, cyclically adjusted P/E ratios have been a common and widely accepted gauge of market valuation. But as the financial landscape continues to evolve, so too must our tools for understanding it.

Most viewed in recent weeks

Why spending more in early retirement can improve lifetime income

Conventional wisdom encourages retirees to preserve superannuation. But if those likely to qualify for the Age Pension later in life spend a little more today, it may deliver higher lifetime income and a more stable retirement.

Testamentary trusts have secured the CGT exemption

Treasury’s latest CGT reform draft delivers a win for testamentary trusts and deceased estates, exempting estate-derived gains from the 30% floor. However, questions on death and divorce rollovers remain unresolved.

Meg on SMSFs: What do we think about reversionary pensions these days?

Reversionary pensions have long been a staple of SMSF estate planning, but are they still the best option? Meg Heffron revisits a once-clear favourite and asks whether changing super rules have shifted the balance.

Is it time to bail on Australian stocks?

For generations, Australian investors have backed banks, miners and dividends. But has that loyalty come at a cost? A look at the numbers raises an uncomfortable question about where future returns will come from.

How does the 4% rule stack up?

The 4% rule has long been retirement's gold standard. But after a difficult period for investors, fresh analysis suggests a more conservative approach may significantly improve the chances of making savings last.

Testamentary trusts survived the trust tax. The drafting battle has just begun.

The fight over testamentary trusts looked settled. Then the draft legislation arrived. Hidden in a technical detail is a question that could force many families to rethink wills they thought were already future-proof.

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