When it comes to investing in the share market, there are two main approaches one can take to building their portfolio. An active strategy aims to compile and actively manage a portfolio with the intention to outperform the market compared to a specific benchmark. On the other hand, a passive portfolio management approach aims to…
Buy Now Pay Later or “BNPL” shopping has dramatically increased the purchasing power of shoppers, particularly those seeking credit without the hassle of a card application. But what are the dangers of BNPL. Are there any?! For those born before 1970 and who still carry cash in their pockets, most of this won’t mean much…
From 1 July 2018, if you are 65 years old or older and meet the eligibility requirements, you may be able to choose to make a downsizer contribution into your superannuation of up to $300,000 from the proceeds of selling your home. The downsizer contribution is not a non-concessional contribution and will not count towards your contribution…
The Reserve Bank of Australia’s official cash rate is at a record low of 1 per cent, with further cuts predicted as the central bank strives to offset perceived economic weakness. In the United States, the outlook is similar. The U.S. Federal Reserve, which in January was expected to raise rates, is now on a…
The importance of real returns When looking at performance from our investments, we invariably miss to include an important piece of information. Inflation We don’t regularly adjust rates of return for inflation, using what is known as the real rate. Every investment return should be expressed in real terms, because it reflects the true purchasing…
With changing conditions in the Australian property market and a belief that a correction in the ASX is imminent, the question of where to put your money is as difficult as ever. Here, we undertake a quick comparison between the property and share investment environments to see if one is a better investment option than…