A key architect of the compulsory retirement savings system lauds its many achievements, stretching from the national economy to the individual. Where it’s double faulting is in serving members – and it needs to be addressed promptly.
With performance and diversification driving demand, these funds are expected to experience four-fold global growth over the next decade to nearly $AU65 trillion.
ASX morning report – what you need to know Wednesday
Global share markets continued their recovery yesterday, albeit without the velocity experience in March.
The ASX 200 once again pushing throughout the day, to finish up 1.6% and the S&P 500 similarly strong, finishing 0.9% higher. Tuesday saw announcements from both the Reserve Bank of Australia and Federal Reserve, with the latter seemingly learning from the former.
The RBA Governor announced an extension of its unconventional lending program would now include investment-grade corporate debt, in an effort to shore up improved liquidity.
Amid signs that the shutdowns around the world may be coming to an end, the oil price rallied 20% overnight, supporting oil companies around the world. Marathon Petroleum gained even while losing $9 billion for the quarter which should and companies like Santos and Woodside Petroleum higher today in Australia.
This improvement comes despite the Reserve Bank forecasting the Australian economy will contract by 10% this quarter and 6% for the year, before recovering in 2021.
Walt Disney reported weak quarterly numbers, with revenue increasing to $18.01 billion as Disney+ reached 50 million subscribers, but earnings fell around 60% as the combination of theme park closures, cruise cancellations and the lack of live sport hit their core business lines.
In Australia, Origin Energy announced it would purchase a strategic stake of 20% in renewable energy asset owners and UK energy retailer Octopus, transitioning all their users onto the high-tech Kraken platform.
Westpac announced they would stop lending against thermal coal assets by 2030 and Flight Centre warned of a 95% drop in sales.
Food delivery kit provider Marley Spoon, raised capital at $1.05 after falling as low as $0.23 during 2019 as consumers sought easy to cook home meals. And despite the market weakness, automated investment platform RAIZ saw 27% growth in customers over the last 12 months, with AUM up 25% to $404 million.
This update was written by Drew Meredith, Director of Wattle Partners.
