Handy hints to create a better budget for you Nearly two out of five Aussies believe budgeting is too much effort, but these quick tips could make it a simpler task. Around 75% of Aussies will be going into 2018 with no specified budget, according to a survey by AMP, which—reality check—is probably going to make achieving financial goals, whether it’s getting out of debt, going on that long-overdue holiday, or saving for something big, a little …
Australians reveal their priority goals Most Australians indicate their biggest life goal is a financial one, but many admit failing to plan is a roadblock. Increased household debt, record-high property prices and the aftermath of the global financial crisis have not impeded Australians’ belief in their ability to achieve their goals. In fact, an August 2016 research paper by The Financial Planning Association of Australia and McCrindle, showed four in five Australians were confident they could turn …
Should you make your kids pay rent? Either way, some form of agreement should be reached so that what everyone wants is considered, and it’s not a one-sided affair. When your kids grow up, at least enough to hold down a steady job, one question many parents and carers might ask themselves is, should I charge my kids board? Some people will tell you yes, some people will tell you no, but at the end …
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 …
Econosights – The end of Japanese stagnation? Key points Years of low growth and inflation are gradually turning around in Japan thanks to the slow-moving impacts of Abenomics combined with a strong global economy. A lift in growth and employment reforms are increasing participation in the labour market, adding to an already tight labour market. Recent wage agreements will add to inflation. The solid economic cycle and good corporate health is positive news for Japanese …
How would your superannuation stack up if paid as a monthly salary? Your super balance might look good as a lump sum figure, but would it suffice if divided into regular monthly repayments in retirement? Superannuation is likely to be one of the biggest assets most of us will ever own, with expectations it could become the average Aussie’s greatest asset, overtaking the family home, in the coming decades1. If you checked your super balance …
Where are we in the unlisted commercial property cycle? Key points Australian unlisted commercial property returns have been very strong this decade thanks largely to the “search for attractive yield” by investors. This return driver is expected to start to fade but rising rents, particularly in the south-east office markets, will provide an offset keeping returns solid for now. Commercial property yields still offer a strong premium relative to bonds suggesting we are a long …
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% …
Separating fact from fiction when it comes to superannuation If you’re wondering whether super is improving retirement outcomes for Australians, we take a look at some of the findings. If you’ve got compulsory super contributions coming out of your wages or salary, or you’re making voluntary contributions, or both, you’re probably keen to know how super is making a difference to everyday Aussies, if at all, given it’s a system that has now been in …
A slip in house prices is no reason to panic The current slide in Sydney and Melbourne residential property prices will fall far short of a housing bust, according to AMP Capital Head of Investment Strategy and Chief Economist, Shane Oliver. House prices in Sydney have fallen about 5 per cent this year from last year’s peak, and eased slightly in Melbourne according to Oliver, who adds that both markets may have further softness ahead. “I …
