How much do I need in retirement?
How much you need to save for a comfortable retirement is a question many of us ask. While we all hope for a simple answer, how much money you need in retirement differs for everyone. …
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Economic update and market overview
Introduction Inflationary forces continued to intensify in key regions, which suggested interest rates could be raised more quickly and more aggressively than previously anticipated. Government bond yields continued to rise sharply, resulting in negative returns …
The RBA starts raising rates – how far and how fast? And what does it mean for investors?
The RBA has hiked the cash rate by 0.25% taking it to 0.35% and signalling more rate hikes ahead. We expect the cash rate to rise to 1.5% by year-end and to 2% by mid …
The 2022 – 2023 Federal Budget: What it means for you
This year’s Federal Budget covers a range of measures aiming to reduce the pressure from increased costs of living and help more people into homes. Note: These changes are proposals only and may or may …
The escalation in Ukraine tensions – implications for investors
Key Points Ukraine tensions have escalated with Russia ordering troops into Ukraine regions already occupied by Russian separatists. Share markets are at high risk of more downside on fear of further escalation and uncertainty about …
What is equity and how can I use it to invest?
Whether you’re looking to invest in property, renovate or pay off something big, borrowing against the equity in your home may be helpful, if you’re across the risks. The equity in your property can be …
Should you use property to fund your retirement?
Superannuation, shares, property, cash, other investments; a dizzying number of options are available when it comes to living comfortably through retirement. Financial advisers often promote a diversified portfolio to reduce the risk of concentrating ‘all …
How does your pension live on after you die?
Account-based pensions offer a flexible and tax-effective method of drawing a regular income stream from superannuation. They are an essential part of your overall retirement strategy and are usually used from retirement until death. But …
Granny flat arrangements within the context of the gifting rules
Retirees wanting to downsize their home may consider the option of living in a granny flat, or an extension to / spare room of a relative or friend’s home. Money, the transfer of an asset …
Economic Update
Introduction Investors continued to focus on rampant inflation and, in turn, potential changes in monetary policy settings. By the end of January, five interest rate increases in the US had been priced in to markets; …
Do you value your assets more than yourself?
Value is a funny thing. One person’s trash can be another person’s treasure, as the old saying goes. The value we place on something tends to be very individual, and is generally a product of …
Constructing a retirement portfolio in a low return world
Portfolio construction is a much-used term that can be misunderstood. Fundamentally, the term portfolio construction refers to the process of selecting investments to create the optimal balance of risk and return. By mixing different types …
5 money mistakes to avoid if you’re going guarantor
If you have a family member who wants to get into the market sooner than that, you may have discussed whether you’d be willing to speed up the process (if you’re in a position to) …
What alternative assets bring to your super investment mix
Most of us have heard of the main asset classes: shares, property, fixed interest and cash, but alternative assets are less well known. However, these types of assets can provide further diversification and enhanced returns …
Market volatility during COVID-19
Market volatility refers to extreme price movements over a given period. These movements may occur in a particular area, such as real estate or shares, and may be upward or downward. Ever since COVID-19 started …
What happens to my super when I move overseas?
You might be leaving the country for a variety of reasons – career prospects, love, adventure, new opportunities – or you may be returning home. While you’ve probably got a checklist of things to cover …
Investing in investment bonds
Investment bonds are long-term investments that may offer tax efficiency to investors on a high marginal tax rate and those investing for children or grandchildren. Unlike traditional investment products, such as managed funds, bonds are …
Retirees: How to beat Inflation before it beats you
Investors with long memories – or a good education – will recall the bad old days when inflation was the economic bogeyman. It broke Germany’s Weimar Republic in the 1930s and nearly cratered America’s economy …
Economic and market commentary
Investors remained focused on rising inflation and the possibility of policy settings being tightened worldwide. Bond yields continued to rise – particularly in Australia – as investors brought forward their expectations for interest rate hikes. …
Do life insurance products cover mortgage payments?
You’ve worked tirelessly to own the home of your dreams. But if you suffered from an injury or illness that prevents you from working, would you be able to cover your mortgage repayments? A government …
An overview of the main residence CGT exemption
Generally, a property, including a taxpayer’s main residence, ie their family home, is considered to be a Capital Gains Tax (CGT) asset. When CGT assets are sold, taxpayers may be liable to pay tax on …
Learning the lessons of 2020: An extraordinary year
When the COVID-19 pandemic hit Australia in March 2020 it brought immediate and severe financial gloom. Shares plunged 37% and the economy slumped to its first recession in nearly 30 years. However against that backdrop, …
Economic Update and Market Commentary
Risk assets including equities and credit continued to power ahead in April. Locally, the share market and the Australian dollar were supported by rising commodity prices. Investors continued to monitor Covid cases and the pace …
Good news – Super contribution caps to rise
On 1 July 2021, both the concessional and non-concessional superannuation contribution limits, also known as ‘super contribution caps’, will rise. This is good news because this is the first time these limits have changed since …
Saving for your child’s future
As every parent knows (even before they become one), raising a child isn’t cheap. And those expenses don’t necessarily stop once they reach 18. Parents often hope to help their adult children with significant financial …
Transfer balance cap set to increase to $1.7 million
The amount of super savings that can be transferred into a retirement pension (whether you have one or more than one) will increase from $1.6 million to $1.7 million on 1 July this year, but …
Why insurance is important: real benefits for you and your family
Insurance plays a central role in providing financial security for you and your family when it’s needed most. You insure your car and your home. But nothing is more important than your life and your …
Your investment options and strategy
Building your wealth for the long term starts with a sound investment strategy. But with so many options outside your superannuation fund – from bonds to managed funds – where might you begin? Almost every …
A family affair: Children, super contributions and SMSFs
The potential increase in members from four to six a in self-managed fund has led to many to consider about whether it is worthwhile to have children as members of the parents’ or ‘family’ SMSF. …
2021-22 Federal Budget: What it means for You
As the COVID economic landscape continues to take shape, Australian Federal Treasurer Josh Frydenberg has handed down the 2021-22 Federal Budget. Among the proposed changes, he announced continuing tax relief for lower earners, help for …