TO BE RECATEGORIZED

The COVID-19 global pandemic is unfolding quite differently to all other major market events seen through history. Governments globally are facing a delicate balancing act between trying to minimise the health impact of the virus, whilst managing the severe disruption to their economies. The sudden and sharp shock facing the global economy appears without precedence.

Stock markets have crashed, we can be confident of that. History suggests there is no quick recovery from crashes like these, which means lasting consequences for investors.

The world economy is teetering on a knife edge: the Chinese and Indian economies were slowing even before the COVID-19 Coronavirus, and as Australia was recovering from one of its worst bushfires.

The Grattan Institute has released its submission to the government’s retirement incomes review, a review called in anticipation of five annual increases in compulsory superannuation contributions, scheduled to begin in July 2021.

The government’s retirement income review is being told our current tax and benefit treatment of retirement incomes is a mess.

As a business evolves, one of the issues it must deal with is whether its branding adequately reflects product and service expansion over time. This is a question we have had to address at SuperAA (Superannuation Advisors Australia), a business that was launched in 2013 with the aim of offering SMSF audit services and technical support to accounting firms.

The private rental sector has expanded at more than twice the rate of the increase in Australian households in the last two decades. This increasingly diverse form of tenure now houses about one in four of us. 

The ETF landscape continues to rapidly expand beyond the replication of major stock market indices such as the S&P/ASX 200 and S&P 500. Today’s investor can choose ETFs across different sectors, based on certain themes or even offering alternative weighting schemes, like yield or value, captured by the phrase smart beta.

Over the last few weeks there has been a heightened level of debate concerning Listed Investment Companies (LICs) and Listed Investment Trusts (LITs). As always, industry experts have presented thoughtful, considered positions following ASIC’s analysis provided to Treasury on LIC performance.

I recently tried an experiment. I changed several light bulbs, and since one required a little rewiring, I sent my wife (also known as the majority shareholder) a bill for $110.50 (plus GST). In return, she sent me a bill of $457.98 for her preparation in late December of a sumptuous meal, plus her work managing all social connections associated with the holidays. 

Australia is in the midst of a bushfire crisis that will affect local communities for years, if not permanently, due to a national crisis of underinsurance.

Regardless of where they live, investors have a significant opportunity to diversify their equity portfolio outside of their home market.