Perks
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Since Perks was founded in 1981, they established a reputation for helping others Discover Success through their sophisticated advisory, private wealth, and business services.
As one of the largest privately-owned accounting and wealth advisory firms in Australia, they always operate in the best interests of our clients to help them meet their specific financial and business objectives. Learn..
Perks
4y ago
This Great Virus Crisis (or GVC) brings huge upheaval and uncertainty about our physical and financial future. In hindsight it should prove short term but COVID-19 will now probably always be with us, needing regular vaccination… like the flu. Until vaccination is possible, we need separation and regular hand washing. Soap breaks down the virus’ fatty outer membrane to kill it in 20 seconds, so stay soaped-up until it does.
Health care professionals are caring like never before, bravely serving our health interests while risking their own – for which we are truly grateful. It may need prolong ..read more
Perks
4y ago
Last year was a particularly good year for investment returns. The latest data from superannuation consultants Chant West shows growth-oriented super funds delivered an average 14.7% return in 2019.
They define a “growth fund” as one with 61 to 80% allocated to growth assets (largely related to shares, property and infrastructure). Many super funds market this asset mix as “balanced” (usually their flagship or ‘core’ fund) and Chant West also reports this asset mix is where most Australians are invested. We’ve written more about this in Compare the pear… apples and oranges.
All our Wotherspoon ..read more
Wotherspoon Wealth
4y ago
The two previous blogs in this series (5 Reasons for Optimism in 2020 & 5 Reasons for Vigilance in 2020) identified some key global themes for 2020. But what’s an investor to do?
Here’s our 5 tips for successful investing in 2020:
Diversify and look beyond conventional assets
A renewed focus on ‘value’
Be active: Sell into strength and buy when on sale
Consider Emerging Markets
Healthcare and aging continue to be a reliable trend
1. Diversify and look past conventional assets:
The old adage says – “don’t put all your eggs in one basket”. Doing so may work in any one year but it’s unlikely ..read more
Wotherspoon Wealth
4y ago
Interest rates are expected to stay lower for longer and the US election should provide reason for easing global trade tension but investors must remain vigilant. With many moving parts, here’s our top 5 reasons to remain alert:
Universal social unrest
Monetary Policy running its course
Recessionary risk
Deflationary impact of technology
Eventual disruption in the recent ‘growth’ investment trend (return of ‘value’ investing)
1. Universal social unrest
Globally, social unrest is significantly higher; reacting to different triggers but with similar themes:
Climate change;
Unequal wealth distr ..read more
Perks
4y ago
This three-part blog series provides a detailed investment outlook for 2020, including our 5 reasons for optimism, 5 reasons for vigilance and our 5 best investment ideas for 2020.
At the beginning of 2019 we noted the market had shifted its thinking on interest rates and US rates began to rise. Yet looking back on 2019, investors welcomed an about-turn on interest rates from the world’s central banks and pushed share markets sharply higher.
Australia’s economy grew slowly at around 2% in 2019 as the housing construction downturn, weak consumer spending and drought all weighed. Nonetheless ..read more
Perks
4y ago
Safety used to pay little… but now pays virtually nothing. Interest rates have never been so low. Australia’s cash rate is now 0.75% p.a.; 10 year Government bonds were around 5% in 2011 but are now around 1% p.a. Many Japanese and European bond rates are now negative. One Danish bank even offers negative home mortgage rates! While good for borrowers, it’s tough for retirees seeking income – they’re being pushed to take more risk.
About 25% of global debt now earns negative rates – is it sustainable for investors pay for the privilege of lending their savings to others? A bond with nega ..read more
Perks
5y ago
Interest rates have never been this low. If you’re an investor, you’re now getting paid less for your savings, so what do you do?
Do you accept more risk and put more of your savings into growth assets (shares and property), despite recent market jitters? Is it better to invest some of your defensive (debt) assets for higher interest and more risk? Markets have grown strongly since the GFC, pushed up by comparison with lower interest rates. Is the end of the cycle nigh, making it a dangerous time for investors?
Specific steps to cover market risk are covered later but let’s look at the growth ..read more
Perks
5y ago
In the early 1980s, a talented young guitarist was kicked out of his band. The band had just been signed to their first record contract, and they were preparing to record their first album. A week before recording began, they fired the guitarist. There was no warning, no discussion. The guitarist woke up one day and was handed a bus ticket home.
The guitarist was demoralized. At the most crucial moment of the band’s short career, he was abandoned by those he trusted the most.
So he vowed to start a band of his own. He would start a band so amazing and so successful that his old band would regr ..read more
Wotherspoon Wealth
5y ago
Some of you may remember our previous travel blogs… ‘Inspirational Iran’, ‘Surprising Romania’ and ‘Romania to Slovak Paradise’… well, here’s another covering Iran, Armenia, Georgia and Greek Macedonia (much of the old Persian Empire):
The ancient Silk Road trade route linked Europe with China and India through Persia via Byzantium (later called Constantinople, now Istanbul). For millennia it was the centre of the world, though western military dominance of recent centuries had convinced us otherwise. China’s resurgence is restoring this sense of history through its Belt and Road Initiative ..read more
Perks
5y ago
Though well intended, government regulation of investment advice over the last twenty years created supervision and compliance that suffocates financial service delivery.
Political appetite for higher governance and control has driven the following:
Financial Services Reform (FSR) Act of 2001,
2009 Ripoll inquiry,
2010 Cooper Review,
2012 FOFA Legislation,
2014 Murray inquiry,
2015 Trowbridge Report; and last year’s
Royal Commission into Financial Misconduct.
Post-election, the Treasurer’s comments suggest enthusiasm for tight control won’t subside soon. But has all this intervention really ..read more