A commentary from Dimensional's Jim Parker...
Markets have had a rocky time lately. Is this something to worry about? Rick Maggi Read here
02/07/13: Happy New Year!
New Financial Year. Fresh Start.
Want to be kept informed in real-time? Tired of stale, irrelevant websites and blogs? Subscribe to our free updates here. Happy New Year! Rick Maggi & Staff.
01/07/13: Why 'core-satellite' makes sense...
Can funds really outperform the market?
In this brief article, Vanguard's Robin Bowerman takes another look at the merits of 'indexing'. Not sure what indexing is? Then you might want to read-up on it as it has the potential to boost your investment or retirement outcome and reduce your costs.
Also included is a more detailed (but user friendly) look at indexing from Vanguard's 'Plain Talk' library. Worth a read. Rick Maggi.
18/06/12: Greek election "a victory for all of Europe"
Pro-austerity parties to rule...
Markets are breathing a sigh of relief after yesterday's elections in Greece, with the moderate centre-right party winning enough seats to govern in a coalition with another, established pro-austerity party. At the time of writing, share markets have rebounded strongly on the positive news. Watch video here. Rick Maggi
13/06/13: Jumping off the Currency Cart
Why should it matter to you as an investor?
In this brief article, Dimensional's Jim Parker comments on currency speculators and just how spectacularly wrong most individual and professional investors get it. A good read. Rick Maggi. Jumping Off the Currency Cart
06/06/13: Recent market losses
Sell in May and go away, or something more sinister?
Recent share market falls have taken some of the lustre from the stellar gains we've witnessed over the last year, although investment returns remain extraordinary to date. So is the perennial "sell in May and go away" behind the recent market correction or is there more to it than that? The following is an easy to understand three-minute video commentary (just released) from AMP Capital's Dr Shane Oliver that should help to calm the nerves... Rick Maggi. Watch Video
07/05/13: The Aussie dollar - is the best really behind it?
Where to from here?
Has the Australian dollar peaked? What can we expect going forward? What can you do to take advantage? Rick Maggi. Read more here
07/05/13: Alert: Cash rate cut by 25 basis points
The comfort and safety of Term Deposits is a double-edged sword...
The Reserve Bank of Australia has just reduced the cash rate by 0.25% to 2.75% effective 8 May 2013. The RBA's Media Release is below. This action is in response to a slowing Australian economy (unemployment is rising, retail and government spending is falling, mining is sluggish, and taxes are set to rise).
Leading brokers are now predicting that our cash rate is headed to 2% and billionaire investor George Soros is betting that the Australian dollar will fall. Against this backdrop, interest rates are likely to continue their drift downwards, which is bad news for term deposit investors, and will probably encourage more Australians back into higher dividend yielding shares, much like the recent American experience (US markets are now trading about 4% above their all-time highs, primarily on the back of very low interest rates).
As the Australian market remains 23% below pre-GFC levels, it is quite conceivable that our markets will get a boost from falling interest rates, provided the global picture doesn't deteriorate. Rick Maggi. RBA Statement
06/05/13: No Free Lunches
What is the real cost of investment certainty?
An excerpt from Jim Parker's 'Outside the Flags' (Vice President at Dimensional Australia) discusses the hidden risks of "certain" outcomes and capital guarantees. Worth a quick read. Rick Maggi. Read No Free Lunches' here
02/05/13: Japan's monetary easing and global markets
What are the implications for Australia?
Following the recent changes to Japan's monetary policy, AMP Capital's Dr Shane Oliver discusses it's implications for global share markets. Rick Maggi. Watch Now
12/04/13: Are we in for another bout of weakness?
Olivers Insights
After a strong start to the year, share markets have had a few wobbles lately and bonds have rallied again. Sell in May and go away? Rick Maggi. Read more here
05/04/13: Money Printing. What are the risks?
Another look at 'Quantitative Easing' (Video)
Don't let the term 'quantitative easing' scare you. The concept and reasons behind it are simple and quite justifiable in the the current climate. AMP Capital's Dr Shane Oliver attempts to briefly explain what it is, why it's being done, and the implications for shares and bonds going forward. An easy to understand 4 minute video, worth viewing. Enjoy! Rick Maggi. View video here
30/03/12: Should super funds have more bonds?
Shares or Bonds?
In this article, Dr Shane Oliver looks at the recent move to the relative safety of bonds and whether now is the right time to be making the shift. Read more here
20/03/13: Running to Stand Still
'Outside The Flags' (Jim Parker, Dimensional)
Trying to correctly time your entry point to the market is never easy. Just ask the experts. This brief article written by Jim Parker, VP of Dimensional (DFA) Australia, is another reminder of the perils of market timing. Let me know if you'd like a copy of Jim Parker's book 'Outside the Flags' - an easy, enjoyable read. Rick Maggi. Read 'Running to Stand Still'
18/02/13: 2013 Rays of Hope
The start of the new year...
A refreshing take on the new year from Vanguard's Robin Bowerman… Read Here
16/03/13: Don't worry about a stock market drop...
Feeling a little Vertigo?
With US share markets at all time highs and Australian markets quickly gaining ground, it is only natural to feel a little nervous about what might be around the corner. British Journalist and Economist, Anatole Kaletsky, suggests that you might want to take a different view. Read more here. Enjoy! Rick Maggi.
12/03/13: The Espresso Portfolio
...all it takes is time and the price of a cup of coffee
This is a simple, poignant piece written by Dimensional Australia's VP, Jim Parker. Should be compulsory reading for anyone looking to grow their wealth. Enjoy! Rick Maggi. The Espresso Portfolio
06/03/13: Dow smashes record as US stocks surge
All-time high...
The Dow Jones Industrial Average soared to an all-time record high on Tuesday, passing the five-year old mark to leave behind the deep losses of the economic crisis. The positive impact on Australian superannuation and pension funds has been huge. Read More Here. Rick Maggi.
01/03/13: A new long-term bull market edging closer...
...but may be somewhat constrained
This is a fascinating article from AMP Capital's Dr Shane Oliver, which suggests that the long-term 'secular bear market' which has plagued investors since the year 2000 is about to end, making way for a new longer running bull market, but with some limitations. Worth a read. Rick Maggi. Read here... Bull market getting closer
27/02/13: Italian elections & European risk
Where to from here?
With an inconclusive election result and a general unwillingness to reform their economy, Italy's future (and therefore Europe's), is back in the spotlight, impacting on share markets and overall confidence. This is a brief report on the topic. Rick Maggi Italian Election/European Risk