FinancialPartners

What high household debt means for investors

What high household debt means for investors “High house-hold debt is Australia’s Achilles heel,” says AMP Capital Head of Investment Strategy and Economics and Chief Economist, Shane Oliver. “I’ve been thinking this for many years now and yet it seems to keep going higher.” Latest data from the Australian Bureau of Statistics puts total household liabilities at $2.466 trillion, or 199.7 percent of disposable income, putting it among the highest in the world. Australians have …

FinancialPartners 07/02/2018 20/08/2018 Blog / E - Economics / E - Insights Papers / FP - Credit & Finance Australia / Australian dollar / Business cycle / Canada / Currency / Debt / Economics / Economy of Australia / Finance / Great Depression / high / Home / Household / Household income in the United States / Income quintiles / Inflation / Interest / Interest rate / investors / Loan / means / Monetary policy / Money / Money supply / Official Cash Rate / Reserve Bank of Australia / Unemployment / United States / United States public debt / What / What high household debt means for investors

What is the retirement age in Australia?

What is the retirement age in Australia? With no definitive retirement age in Australia, the date you exit the workforce will probably come down to personal circumstances and whether you can afford it. The age you retire in Australia isn’t set in stone. You can really retire whenever you want to, but health, financial commitments and your ability to fund the lifestyle you want will play a big part. For this reason, you may want …

FinancialPartners 06/02/2018 20/08/2018 Blog / FP - Pensions / FP - Pre - Retirement Planning / FP - Retirement 2016 / 2018 / age / Ageing / Aging / Australia / Gerontology / Life annuity / Mandatory retirement / Old age / Pension / Retirement / retirement age / Termination of employment / What is / What is the retirement age / What is the retirement age in Australia?

Correction time for shares?

Correction time for shares? Key points The US share market is long overdue a decent correction. This now appears to be unfolding and may have further to go as higher inflation, a slightly more aggressive Fed and higher bond yields are factored in. This will impact most share markets including Australian shares. However, in the absence of an aggressive 1994 style back-up in bond yields or a US recession – neither of which we expect …

FinancialPartners 05/02/2018 20/08/2018 Blog / E - Economics / E - Oliver's Insights Bond / Business cycle / Capitalism / Central bank / Correction / Correction time for shares? / Deflation / Earnings growth / Federal funds / Federal funds rate / Federal Open Market Committee / Federal Reserve / Federal Reserve System / Finance / Inflation / Interest rate / Investment / Macroeconomics / Market trends / Milton Friedman / Monetary policy / Money / Money supply / Recession / Repurchase agreement / share / Shareholder / Shares / Stock / Stock market / Time / Unemployment / Yield / Yield curve

How mortgage stress could impact your share portfolio

How mortgage stress could impact your share portfolio Investors in the local share market should be on high alert for signs of risks creeping into their portfolios as mortgage stresses may start mounting on younger families into next year, says Dermot Ryan, AMP Capital’s Equity Income Fund Co-Portfolio Manager. No sooner have we seen slight mortgage increases from the banks do we see a swath of profit downgrades from listed companies who sell to young …

FinancialPartners 05/02/2018 20/08/2018 Blog / E - Insights Papers / FP - Financial Planning Could / How / How mortgage stress could impact your share portfolio / impact / mortgage / portfolio / share / stress / Your

Beware the double-edged sword of US tax reform

Beware the double-edged sword of US tax reform Tax reform in the United States has helped to spur on global economic growth, but investors should be aware of the double-edged sword that comes with the added exuberance, as already expensive share markets continue to edge higher. While company earnings growth in the US – and indeed in Australia – are generally supportive valuations, according to Diana Mousina, AMP Capital’s Senior Economist, the continued strong run …

FinancialPartners 02/02/2018 20/08/2018 Blog / E - Economics / E - Insights Papers Beware / Beware the double-edged sword of US tax reform / Central bank / double-edged / Economic growth / Economics / economy / Finance / Global / Hedge fund / IMF / International Monetary Fund / Mutual fund / Percentage point / reform / share / Shareholder / Stock / Stock exchange / Stock market / Stock market index / sword / Tax / Technical analysis / Trader / United States / US / US Share market / USA

Higher global inflation and higher bond yields – what’s the risk and implications for other assets?

01 February 2018 Higher global inflation and higher bond yields – what’s the risk and implications for other assets? Key points Rising global growth and rising commodity prices indicate the risks to inflation are gradually moving to the upside. This is most acute in the US with the Fed likely to raise rates more than the market expects this year. This supports the view that the 35-year super cycle decline in bond yields is over. …

FinancialPartners 01/02/2018 20/08/2018 Blog / E - Oliver's Insights assets / Bank / Bank run / Bond / Bonds / Capitalism / Central bank / Core inflation / Deflation / Economic growth / Economics / Federal Reserve System / Finance / Financial crisis / Financial crisis of 2007–2010 / Fractional-reserve banking / Global / Great Depression / Gross domestic product / higher / Higher global inflation and higher bond yields – what’s the risk and implications for other assets? / implications / Inflation / Interest rate / Investment / Lancashire / Monetary policy / Money / Money supply / other / property / Risk / Stock / Stock market / The Bond / What’s / Yield / yields

What’s in Store for Interest Rates, Housing Market and Australian & Global Economies in 2018?

What’s in Store for Interest Rates, Housing Market and Australian & Global Economies in 2018? Important note: While every care has been taken in the preparation of this document, AMP Capital Investors Limited (ABN 59 001 777 591, AFSL 232497) and AMP Capital Funds Management Limited (ABN 15 159 557 721, AFSL 426455) make no representations or warranties as to the accuracy or completeness of any statement in it including, …

FinancialPartners 31/01/2018 20/08/2018 Blog / E - Economics / E - Market Update / E - Oliver's Insights 2018 / Australian / Economics / Economies / Global / housing market / Housing Market and Australian & Global Economies in 2018? / Interest rates / Trade / What's in Store / What's in Store for Interest Rates

The risk shares and bonds will no longer correlate

19 January 2018 The risk shares and bonds will no longer correlate There is an old saying that “diversification is the only free lunch in finance”. While this adage is often wrongly attributed to Harry Markowitz, it does a great job of articulating the essential insight in his Nobel Prize winning research. What people who’ve followed Markowitz’s know is the attractiveness of an asset in a portfolio doesn’t just depend on its own expected return …

FinancialPartners 30/01/2018 20/08/2018 Blog / E - Economics / E - Insights Papers / E - Rogers' View Austrian School / Bank / Bond / Bond market / Bonds / Capital asset / Central bank / correlate / Correlation and dependence / Deflation / Dimensionless numbers / Dot-com bubble / Economic growth / Economics / Finance / Inflation / Interest rate / Investment / Macroeconomics / Milton Friedman / Modern portfolio theory / Monetary policy / Money / Money supply / no longer / Pearson product-moment correlation coefficient / portfolio / Risk / Shares / Spearman's rank correlation coefficient / Stock / Stock market / The risk shares and bonds will no longer correlate

Sports lovers enjoy better financial fitness

Sports lovers enjoy better financial fitness If your golf clubs have been under wraps or your tennis racquet has been tucked away for some time, it could be worth dusting them off. Research by AMP found Australians who play sport regularly are 64% more likely to achieve their financial goals than those who don’t. With the weather warming up, plenty of us will be thinking about getting in better shape. That can mean heading outdoors …

FinancialPartners 29/01/2018 20/08/2018 Blog / E - Paul Clitheroe / FP - Community and Lifestyle / FP - Managing Money / FP - Money Management better / Bond / Debt / Economics / enjoy / Exercise / Finance / Financial / Fitness / Health / Health care / Health insurance / Investment / lovers / Personal finance / Saving / Sports / Sports equipment / Sports lovers enjoy better financial fitness / Term / The Link REIT / Thought / Time

Investors channel Millennials, call for an end to modern slavery

Investors channel Millennials, call for an end to modern slavery The spending power of the pivotal and perhaps most talked about generation in history – the Millennials – could ultimately put an end to the modern slavery endemic in the clothing industry. But it’s the investors in apparel and fashion companies that are paving the way for change by shining a light on supply chain transparency and sustainable practices, according to Kristen Le Mesurier, AMP …