5 ways to set your kids up for financial success As we move towards a cashless society, how do we teach children that money comes from hard work and good financial management and not some magic money pot in the sky? “In a world of credit cards and online banking, actual physical money is becoming an alien concept for today’s young. From their perspective, a quick tap of the plastic is all it takes to …
Flying solo: Stories of the self-employed There are 2.1 million small businesses in Australia. Of them, just under 1.3 million are sole traders or partnerships. Making the decision to start your own business can be both exciting and terrifying. There are many perks to being your own boss but plenty of responsibilities too. We spoke to two Australian business owners to get their take on it. Go your own way Running your own business generally means working …
Women and wealth creation: Closing the gap through financial planning With the gender pay gap still prevalent today, women often face an uphill battle to stay ahead of the game financially. The financial disparity is further compounded when women take time out from full-time work to care for family, sacrificing superannuation and wages along the way. While we each do our part for the gender imbalance to improve, investing in a financial plan is an …
Does it pay to plan ahead when you travel? You may be keen to go wherever the wind takes you, or you might be a plan-to-the-hour type of traveller. There are benefits to both styles. Travellers often fall into two categories—the planned and the unplanned—and more than likely, you already know which of the two camps you belong to, or if you sit somewhere in between. Whatever your preference, we look at some of the …
Is the Australian dollar headed for more downside? AMP Capital chief economist Shane Oliver says he expects the Australian dollar ($A) to weaken further – making unhedged offshore investments more attractive — as interest rates continue to rise in the US. However solid commodity prices should put a floor under falls. So far this year the $A has fallen from around US$0.80 to around US$0.72. “I think the likelihood is it’s got more downside,” …
Why the $A is likely to fall further and shorting it is good protection against things going wrong globally Key points The downtrend in the $A from 2011 likely has more to go. The $A is near fair value, but the increasing negative interest rate gap to the US & a messy outlook for commodities suggest a fall to $US0.70 by year end. Given the downside risks for the $A and that being short the …
Role-reversal: When parents are relying on you As your parents get older, your whole family will be facing lots of changes. Supporting them during this time can be challenging, with lots of choices to be made. Get some tips to help you prepare for this role-reversal without it becoming a burden or a cause of family conflict. In the later stages of life, many seniors want to stay independent for as long as possible, but …
Aussie attitudes to finance across the generations From Gen Y to Gen X to the Boomers, are attitudes to finance really that different between the generations? “Young people don’t understand the value of working hard and saving for the future.” “Baby Boomers are ruining our chance to buy a home.” People of all ages will express opinions about the older or younger generations, but are we actually any different in our attitudes to finance? The …
Home sweet home: Your guide to the FHSSS The First Home Super Saver Scheme (FHSSS) came into effect on 1 July, and the property market has started cooling, so could the time have come for first-home buyers to make their move? CERTIFIED FINANCIAL PLANNER® professional Jeremy Chiel from Stonehouse Group shares some insights into the challenges and solutions facing younger people when it comes to home ownership. Housing affordability has been in and out of the headlines, …
What two investing insights would you give your 20-year-old self? Hamish Douglass, Chief Executive Officer and Chief Investment Officer, Magellan Asset Management My central advice would be that successful investing is about finding and then owning for the long-term companies that can generate excess returns for years to come. It’s not about looking for stocks that might come into short-term favour on stock markets. The worthwhile companies to own for the long term will …
