The Australian Taxation Office has extended its data collection to more rigorously check taxpayers’ numbers in their FY23 tax returns and cut down on tax cheats. Property investors and those making work-related claims are high on the target list.
With tighter monetary policy likely to keep returns on equities capped for the remainder of the year, advisers identify key themes that will provide growth and defence for a resilient portfolio.
Corporate profit growth is expected to moderate, especially in sectors focussed on consumer sales, and mining companies have seen large downgrades. Meanwhile, markets are still not fully pricing in the high risk of recession, some analysts say.
Rate hikes are causing anxiety for Australian mortgage holders, with new research showing seven out of 10 worry about missing repayments. As large numbers of fixed-rate mortgages expire, analysts say distressed property selling is likely to pick up from its thus-far benign levels.
With new data showing offshore share investments comprise just 2 percent of total self-managed superannuation fund assets in Australia, advisers are warning SMSFs against overreliance on domestic shares and cash and urging diversification.
Demand for the metals needed for the energy transition and a falling iron ore price are encouraging Rio Tinto and BHP to expand investment and production, analysts say, with the big dividends shareholders have come to expect likely to take a hit.
Five per cent on a one-year term deposit will tempt a lot of investors, and with good reason, but equities have proven their worth over the long term. As ever, experts say, personal needs should guide investment selection.
High payout ratios and non-cyclical price falls are some of the red flags investors need to be wary of. A selection of portfolio managers reveal what they look out for, and try to avoid, when hunting for value stocks.
As the economy tilts toward recession, portfolio analysts are turning towards sectors and companies that handle cloudy conditions better than most. Healthcare, energy, consumer staples and utilities come into focus, while cyclical sector companies lose favour.
True to form, US stocks are outperforming Aussie shares on the back of a resurgence in technology-related company valuations. Economists warn against straying from diversification, however, with Aussie miners still offering investors capital returns on top of an underlying hedge against a US downturn.
