The importance of starting point valuations for investment returns – and where are we now? | AMP Capital

The importance of starting point valuations for investment returns – and where are we now?   Key points Starting point valuations – like yields and price to earnings multiples – are a key driver of potential medium term investment returns. For growth assets it’s often more complicated with, eg, the level of interest rates playing a big role. At present valuation starting points for term deposits and bonds suggest low medium-term returns. For shares they …

A slip in house prices is no reason to panic

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 …

What could trigger a property price correction?

10 November 2017 What could trigger a property price correction? The shift of mortgagees to “principle and interest” from interest only loans is one of the things to watch when considering the potential for a price correction in some of the more highly-valued residential property markets, Dr Shane Oliver, AMP Capital’s Head of Investment Strategy and Chief Economist, says. “When they [mortgagees] do that, they face a big increase in their debt servicing costs,” Oliver …

How can I make my dream home a reality?

  How can I make my dream home a reality? Only you can choose the best home for you. But finding a smart way to buy it will probably take some help. Just like engaging an architect to draw a blueprint of your dream home, you may like to consider speaking to a financial expert to help plan the best way to finance your new home. How expert advice can really help There are plenty …