25 basis point cut...
The Reserve Bank has cut interest rates by 25 basis points, taking the official cash rate to 3.25 per cent. More here. Rick Maggi
19/09/12: Q&A on QE3
What is it? Why do it?
AMP Capital's Dr Shane Oliver discusses the potential consequences for investors and retirees of the US Federal Reserve's recent decision to commence another round of 'quantitative easing'. This is an easy to understand article, well worth a quick read. Enjoy. Rick Maggi. Read more here.
14/08/12: If you invested $10,000 thirty years ago...
The Vanguard 2012 Index Chart
There's nothing quite like time to smooth out the rough patches and provide investors with some perspective. This chart, just released by Vanguard, shows what would have happened to a $10,000 investment made in 1982 had an investor selected either Australian shares, international shares, US shares, listed property, Australian bonds or cash. While the final result will likely surprise many, I believe the wide gap between Australian shares and cash is the standout statistic. View Chart Here
29/06/12: Australian house prices - is the crash upon us?
Where to from here?
New home sales data released today for May by the HIA confirm that the housing market remains chronically weak right now. This article looks at the outlook for Australian house prices. Rick Maggi Read more here
28/06/12: What about the US?
Greek relief for now - but what about the US?
In addition to providing a brief update on Europe, this note (courtesy of AMP Capital) focusses on the US economy, both in terms of the slowdown evident in some economic indicators and the impending fiscal tightening from January 1 next year. Read more here
01/06/12: Bond funds vs term deposits
Which is better in the current environment?
Jeff Brunton, Head of Credit Markets (AMP) discusses the benefits of bond funds in an environment of declining interest rates. Rick Maggi. View video here
13/04/12: When should I retire?
A question for baby boomers...
Older baby boomers are increasingly asking themselves a short yet often difficult-to-answer question: When should I retire?
The answer, of course, can depend on many factors including health, satisfaction or otherwise with work, the availability of work, the size of a person’s retirement savings, and the outcome of discussions with spouses.
Interestingly, an article in The Wall Street Journal this month headed – “He Wants to Retire…But She Doesn’t” – suggests that many spouses do not agree about when their partners should leave the workforce.
Journalist Kathleen Hughes quotes research by a US investment fund manager which found that 62 per cent of couples surveyed disagreed with the timing of their spouse’s retirement.
The latest issue of an ABS report, Retirement and Retirement Intentions, Australia, shows that the average age at retirement of those who retired over the past five years was 61. (The average retirement age for men in this group was almost 63 compared to 60 for women.)
Not surprisingly, the ABS report shows that Australians are retiring at older ages than in the past.
Of the 3.2 million retirees aged over 45 in 2010-11 when these ABS figures were collected, the average age of retirement was 53. And of the male retirees in this group: 27 per cent had retired at under 55; 53 per cent between 55 and 64; and 20 per cent over 65.
The Wall Street Journal article and the ABS report on retirement are valuable reminders that we should carefully plan for retirement well ahead of any expected retirement date. And we should think of both the financial and social aspects of retirement – including, of course, the views of our spouses. Rick Maggi.
13/04/12: Some encouraging modern history...
March quarter foreshadows strong returns ahead...
In this brief article, filled with positive messages, Elm Capital's John Robertson takes a look at the strong start to 2012 and what we might expect for the remainder of 2012, based on modern history. Let's hope he's right. Enjoy! Rick Maggi Read here
04/11/11: Shares and the long term - how long is long?
A timely reminder
As Greece assesses it's options, bringing global markets on an emotional roller coaster along the way, AMP Capital's Dr Shane Oliver takes a sober look at the long-term performance of shares versus cash and bonds - easy reading. Read here
21/10/11: Market Dashboard
Market Dashboard
A snapshot view of global sharemarkets, interest rates, currency, superannuation and other financial data. Read here Rick Maggi.
16/09/11: Market Dashboard: 16 September 2011
Dashboard
A snapshot view of today's global markets, interest rates, currency, commodities, fund performance and more. View Dashboard