In this issue:
- Super gets a makeover, again
- Chasing yield in a low interest rate world
- Affluenza – are you afflicted?
October is upon us, and that can only mean one thing: sun, sand and surf are back on the agenda! On the global economic front, it’s the closing stages of the battle for the US Presidency that is keeping markets on the edge of their seats.
Global markets have had a volatile few months in the run up to the November 8 US Presidential election. Risk assets have been on the rise, with gold up around 26 per cent this year and the Aussie dollar up from a low of US68.58c in January to levels above US76c in September. The rising popularity of the more protectionist Donald Trump, and the trend towards protectionism in Britain and elsewhere, has coincided with a marked slowdown in global trade. The World Trade Organisation has cut its forecast for global trade growth this year from 2.8 per cent in April to 1.7 per cent, lagging growth in the world economy for the first time in 15 years. Commentators suggest a Hillary Clinton victory would result in a smoother ride for global markets. Hence, her relatively strong performance in the Presidential debates produced a bounce in US shares and the US dollar and pullback in gold.
Just when those saving for retirement thought the rules couldn’t get any more complex, the Turnbull Government has revised some of the key elements of the controversial superannuation reforms it announced in the May 2016 Federal Budget.
Despite this, the reforms still represent significant alterations to the current superannuation system … Read more
Low interest rates and unsettled sharemarkets make the chase for yield a challenging prospect. And yield is important, particularly for those approaching or already in the retirement phase. Because maintaining capital and enjoying a steady income stream are the two key factors to provide for comfort in the years ahead … Read more
‘Million Dollar Shoppers’. ‘Confessions of a Shopaholic’. ‘My Shopping Addiction’. ‘Shop ‘Til You Drop’. ‘Haul’ videos on YouTube. These aren’t just entertaining titles, they’re also tacit acknowledgements of our society’s consumerist craze. These days, spending a lot of money on things is considered unremarkable at worst … Read more
As always, if you would like to discuss the contents of this newsletter please give us a call 07 5559 5760.