Market Update 25 June Global share markets rebounded over the past week with US shares making it to a new record high helped by calming words from the Fed. However, Australian shares fell partly in delayed reaction to the previous weeks falls in the US and not helped by talk of earlier rate hikes in Australia and coronavirus concerns, with IT and materials up but falls led by health and financial stocks. Bond yields rose …
Central banks heading towards the easing exits – five reasons not to be too concerned Key points The gradual shift of central banks including the Fed and RBA towards an exit from monetary easing has caused some volatility in investment markets. We continue to expect the first RBA rate hike to be in 2023, albeit there is a risk it could come in late 2022. However, there are five reasons not to be too concerned: …
COVID-19 real estate trends: The fire break or the accelerant? As the world tried to make sense of the COVID-19 crisis through the first half of 2020, one of the most striking themes was the way in which the pandemic had accelerated a number of trends across commerce and society. Two of these – e-commerce and flexible working – were particularly significant for the property sector, in their effect and long-term implications for retail, industrial …
Market Update 18 June Investment markets and key developments over the past week While US shares fell over the last week as the Fed surprised on the hawkish side and Chinese shares also fell, Eurozone and Japanese shares rose benefitting from reopening and having central banks that are a long way behind the Fed. Australian shares also had a strong week rising to a new record high although this was led by IT, health, retail …
Planning for the financial care of a special needs child Caring for a child with special needs can place an extra financial burden on families. We speak to CERTIFIED FINANCIAL PLANNER® Jane Campbell about some of the challenges and solutions families might consider. As any parent will tell you, raising a child is an incredibly rewarding experience. But for parents of children with special needs, there is often the added challenge of extra expenses and reduced …
Tax deductible donations: Get the most out of giving back Giving to charity can be a great way to help others and give your tax return a boost, but not all donations are tax deductible. Here’s what you need to know about making a tax deductible donation. Donating to a charity or cause you care about is a win-win for both you and the charity. Charities rely on the generosity of donors to help them …
Supporting your kids, without sacrificing your own retirement With careful planning, you can give a helping hand to your adult children financially, while still enjoying a comfortable retirement. In the past, wealth was often passed on through an inheritance. But with our longer lifespans, and the higher cost of living (especially housing), the desire to help our kids while we’re alive and well is increasing. If your children are young, you may have twenty or …
Back in Style: Rapid COVID recovery a kick starter for the retail sector While “rona” was selected by Macquarie Dictionary as 2020’s word of the year, “stir-crazy” would have made it onto many peoples’ shortlists. From closed borders to seating quotas, we have had to contend with various forms of restrictions since the onset of the COVID-19 pandemic. Thankfully, cases in Australia have remained under control and life has started to return to normal with …
Market Update 11 June Investment markets and key developments over the past week Global share markets mostly rallied over the last week. The big surprise perhaps was the US where shares rallied to a new record high and bond yields fell despite another surge in inflation, because investors (rightly in my view) interpreted the make-up of higher than expected inflation for May as consistent with the Fed’s assessment that the spike in inflation would be …
Inflation – why it matters for investment markets Key points The shift from high inflation to low inflation has been a key tailwind for investment returns over the last 40 years – in particular it has allowed capital growth in excess of growth in earnings and rents. A long-term stabilisation in inflation around central bank targets which is our base case would remove this tailwind but still allow reasonable returns, whereas a sustained break …
