Speaking at the SMSF Association’s National Conference, the assistant treasurer called out “modern-day Edmund Hillarys” seeking to raid Australia’s “Mount Everest of superannuation” as he pressed the need for an objective for super that prioritises preservation.
The amount of capital being made available to private companies has surged in recent decades, making it possible, and often preferable, to keep companies private for much longer. Liberty Street Advisors’ Christian Munafo and Schroders’ Claire Smith discussed the opportunities and risks for investors as the private-for-longer trend picks up pace.
Stakeholders are asked for feedback on the government’s proposal to define super’s objective in legislation for the first time, with industry bodies lining up in support.
Australia can still avoid a recession, RBA Governor Philip Lowe told Parliament in dual grilling sessions in Canberra – while he was keen to remind the country of the need for further belt-tightening and a drop in inflation expectations to keep the path to a soft landing open.
The regulator will look into the discrepancy between the interest rates banks charge borrowers and those they pay depositors, as the RBA’s rate-hiking campaign propels the big four banks toward record profits.
The regulator’s financial reporting surveillance program has turned up numerous companies failing to make required risk disclosures in financial reports, as it reminds directors of their obligation to provide investors with key information about a company’s prospects.
Superannuation tax breaks will cost the government nearly $53 billion this year, nearly matching the cost of the entire age pension program, according to a new analysis that says major reform is needed. Meanwhile, the government has signalled a tightening of super legislation.
While avoiding recession is possible, the continuation of restrictive macroeconomic policies for the near term is needed to fight inflation, according to the IMF’s annual economic report card for Australia – and tax reform and stronger housing policies would also help.
A drop-off in IPO activity over the second half of last year appears likely to continue into 2023, as companies look to ride out market uncertainty by staying private for longer. Small-cap listings dominate the light pipeline, while public and pre-IPO opportunities are garnering more investor interest.
A key consideration for SMSF members is how their retirement will impact their fund’s investment strategy. To navigate these tricky waters, members must plan around long-term needs, and input from experts can help prevent costly mistakes, according to Accurium principal Melanie Dunn.
