The toughest asset sector in an investment portfolio is the fixed income. Putting aside the difficulties in convincing an investor to have an allocation to fixed income when the conversation is sprinkled with mind-numbing terms such as duration, curves, and spreads, the even greater problem is low yields. Blind Freddie (rubbery etymology, with likely reference…
As the world undergoes potentially the greatest economic calamity since the 1930s, Australians of all ages are experiencing anxiety and fear about their financial wellbeing. In fact, the great majority of Australians do not have a relationship with a financial advisor. According to the latest research by AMP, the advice gap is wide and getting…
A dedicated allocation to ASX listed REITs is largely an Australian idiosyncrasy as a legacy from the high weight and structural elements of the property trust sector in its heyday. The 2009 financial crisis should have put paid to the role REITs had in portfolios given their distribution cuts and capital raisings at the time….
Low interest rates justify high equity PE’s, and that is particularly so for long duration, high growth equities. So goes the story. It’s worked in recent years and therefore the evidence is there to support the pattern. A simpler argument is that low rates push investors into asset classes that can provide relatively higher returns,…
The scale of the human, social and economic costs wrought by COVID-19 has prompted some politicians to compare it with war. Although this might create some good political spin, which is always attractive to politicians, it is not correct. The differences between COVID-19 and actual war are many and varied. In truth, the only thing…
Following the March equity market correction due to the COVID-19 pandemic, global equity markets rebounded sharply in April, with the small cap sector outperforming. Although the short-term outlook remains uncertain, the market recovery was spurred on by several factors. Many companies were deeply oversold, with valuations having fallen significantly. Governments and central banks have responded…
Amongst the headline noise on virus affected financial conditions, it is surprising that ESG seems to have gained an even stronger foothold.
In hindsight, March 2nd, 2020, as the world started to get to grips with the scale of the global health emergency that was unfolding in the form of the Covid-19 pandemic, was an inauspicious time to launch a new investment product. In fact, the S&P/ASX 200 Index is down 19% since that day – after…
After years of ever-increasing focus on returns to the extent that even fixed income allocations got caught in the vortex, there is a sobering reassessment of the risk profile across a portfolio.
Pushpay (ASX: PPH) has just reported its 2020 financial year result. Is it the best small-cap to buy at this share price? What is Pushpay? It is a New Zealand based donation systems and software business for religious, not-for-profits and education providers in the US, Canada, Australia and New Zealand. Pushpay is used by over 7000 churches worldwide….
