Enshrinement bill passes but policy questioned
The financial advice industry has welcomed enshrinement of the terms “financial planner” and “financial adviser” after the Corporations Amendment (Simple Corporate Bonds and Other Measures) Bill 2013 passed through the House of Representatives last night. The bill must still be approved by the Senate but this now seems inevitable given the coalition’s decision not to oppose
May 29, 2013
The Asia Pacific dividend sweet spot
The search for income has grown in importance amid continued market volatility. Investing to provide a regular source of income has also increased in ageing societies with the need to support a longer retirement. A stampede into traditional safe havens, such as high quality bonds, and prevailing low interest rates globally have seen yields fall
May 28, 2013
Behavioural finance: getting into a client’s head
In any investment category there is invariably a broad spectrum of views, many of which are in outright opposition. This article by Nick Armet, an investment director at Fidelity Worldwide Investment, looks at behavioural problems and suggests some practical workarounds for investors and their advisers. Cognitive dissonance is the feeling of discomfort we have when
May 21, 2013
Budget wrap: industry welcomes continuity
Sighs of relief greeted Tuesday’s federal budget, which contained few surprises and no further changes to personal superannuation. While some in the industry had predicted changes that would reduce incentives and benefits, Treasurer Wayne Swan resisted the urge to further tinker with the superannuation system. The Financial Planning Association (FPA) said there were plenty of
May 15, 2013
In Focus: On the REIT track in Asia
A healthy economy begets a healthy property market, and there are few healthier economies around at the moment than those in Asia. The full version of this article was originally published in the May 2013 edition of Professional Planner. Economic growth in 2014 is forecast at 6 per cent year-on-year for some countries, and this is underpinning
May 14, 2013
Bill Shorten: super nerd
A self-confessed superannuation nerd, Minister Bill Shorten has confessed to being “utterly excited by superannuation” and, in quieter moments, reflecting on the “sheer size of our system”. Speaking on Friday at the Australian Council of Trade Unions (ACTU) Investment Forum in Melbourne, Shorten used the opportunity to again sell the benefits of the council of
May 13, 2013
ASIC: “Wise up and do the right thing”
Regulating investment complexity without stifling innovation will increasingly challenge the Australian Securities and Investments Commission (ASIC) as global financial systems undergo significant structural change. Speaking at the Australian Shareholders’ Association (ASA) Conference, ASIC chairman Greg Medcraft committed the watchdog to addressing emerging risks to ensure confident and informed investors, and fair, efficient markets. Globally, new
May 13, 2013
Myth-busting life insurance ensures protection
Cost remains the main reason for people not holding life insurance but several myths persist about life cover, potentially to the detriment of Australian households. Online research conducted by Galaxy Research for the TAL Group found misconceptions such as “health insurance provides the same sort of cover as life insurance”, “the government will look after
May 13, 2013
Small-cap therapy for contrary investors
Angus Crennan says the twin challenges for advisers are articulating investment opportunities while managing client fear and greed are more complex than ever before. “It may be that buying the 10-year US bond at 4.5 per cent right now turns out to be one of the best trades for years to come.” A great quote
May 09, 2013
