Essential checklist for the end of financial year The end of financial year on 30 June is a good time to take stock and get your finances in order. This is an end of financial year like no other. Being prepared, reviewing your super contributions and submitting your return on time are good policies every year, but the shadow of COVID-19 (coronavirus) means many of us face unexpected pressures in a changing economic environment. Many …
The impact of the novel Coronavirus outbreak has played out in an unprecedented manner on stock markets over the past few weeks, with large falls, extreme volatility and rapidly changing conditions across the major markets. This is unlike any crisis we’ve witnessed over the past few decades, with movements of more than 5% on a daily basis. It’s difficult at this stage to predict how far this situation might run for the global economy, …
Investing for kids – ways to save for their future Whether you’re thinking about childcare, education or beyond, saving even a bit now could make a big difference later. It’s natural to want the best for the children in your life, whether you’re their parent, step-parent, carer, aunty, uncle, grandparent or even godparent. And, while money won’t be the be all and end all when it comes to raising happy little humans, you’d probably agree …
There’s been a ‘changing of the guard’ among sustainable dividend earners Dividend lovers: we’re witnessing a bit of a changing of the guard when it comes to the performance of ASX listed companies. Financials and in particular banks – where investors have traditionally looked for their sustainable dividend growth – are beginning to be threatened for the mantle of sustainable dividend earners by so-called cyclical stocks, according to Dermot Ryan, AMP Capital’s Australian Equities Income …
Share market volatility – Trump and trade war risks Key points Worries about the Fed, trade wars (the risk of which has been significantly exaggerated) and President Trump generally have increased the risk around the global outlook but are unlikely to drive a major bear market. The key issue is whether the US is about to enter a recession and our assessment remains that a US recession is not imminent. The key for investors is …
Why passive investing now won’t deliver all your goals Passive investment funds used to be a relatively obscure part of the market. But with their popularity soaring in recent years, many investors might now be sceptical about paying for active investment. Market performance over recent years would reinforce that scepticism. Holding a passive mix of mainstream assets has performed very well over the last 5 years. For example, an investor who suffers a permanent 25% …
Where’s all the share market volatility coming from? There is quite a lot of talk about volatility coming back to share markets all of a sudden, and with the talk there’s also bit of conjecture about where the volatility originates from. Some say it’s because interest rates and bond yields are beginning to rise; others will point to the end of quantitative easing in the United States and elsewhere for the bumpier ride. The return …
Spread your money, reduce risk Six out of ten Australians own investments outside of the family home and super. That’s good news. The only problem is that many people are still putting all their eggs in one, or just a few, baskets. The latest investor study by the Australian Securities Exchange (ASX) found 40% of investors admit they don’t have a diversified portfolio. Almost one in two investors think their portfolio is diverse, yet …
What the rise of the $A means for global investors The recent rise of the Australian dollar has been surprising but not confounding for experts who believe the its natural level is closer to US70 cents. Indeed, it’s the weakness of the US dollar that’s pushed the Australian dollar higher relative to the benchmark currency in recent weeks even though US economic growth and a resurgent commodities segment had most market watchers expecting the Australian …
Equities riding on fear not fundamentals “The only thing we have to fear is fear itself,” said Franklin D Roosevelt at his inauguration as US President in 1933. I think “the only thing we have to fear is the fear index itself” is a better description of where investors are at right now. It’s been a wild ride on Wall Street and beyond of the past week – the worst in two years for the …
