Financial Planning 10.05.23 - The Budget

Financial Planning 10.05.23 - The Budget

Treasurer Jim Chalmers announced the much awaited and debated federal budget last night.

The first Budget surplus since 2007-08 was delivered on higher tax receipts from resource companies and the strong labour market. With inflation still front of mind, the spending initiatives were muted and focused on lower income households. On one hand, the Government needs to assist with cost-of-living difficulties, whilst not adding to inflation, a tough balancing act.

This week we’ll explore some of the more pertinent topics addressed last night. As always, we invite your feedback on what you’d like to read about and topics that you’d most like us to cover.

Financial Planning 03.05.23 - Estate Planning - Superannuation

Financial Planning 03.05.23 - Estate Planning - Superannuation

When you pass away, your assets, other than Superannuation, are generally distributed in accordance with your Will. Superannuation is not automatically included as an asset in your deceased estate and may not be accounted for by your Will.

Therefore, making a death benefit nomination allows you to direct your Superannuation to your preferred dependant/s and/or Legal Personal Representative (your Estate). If there is no nomination, your Superannuation fund will use their own trustee/s discretion to determine whom and in what proportion to distribute your super benefits – this may not be in accordance with your wishes.

Fixed Income

THE MORRISSEY EXCHANGE, SHAW AND PARTNERS: Podcast #44: Fixed Income

In today’s pod we delve into our third component of the asset allocation series; cash and fixed interest.

Certainly not the sexiest of the four broad asset classes, but probably the one that provides investors with the greatest comfort; whether rightly or wrongly.

This week we’re joined by Cam Duncan, Co-Head of the Shaw and Partners Income strategies team. You may recall Cam from our discussion in November 2021 where we were discussing the pending interest rate move and inflation; which played out as discussed.

Today we discuss the asset class itself and its role in a well-diversified portfolio, different types of debt, global opportunities, the specific features of hybrids and the US Debt ceiling.

Financial Planning 26.04.23 - Estate Planning

Financial Planning 26.04.23 - Estate Planning

“I want to give my kids just enough so that they would feel that they could do anything, but not so much that they would feel like doing nothing.” – Warren Buffet

As we enter our ‘Golden years’, we may start to reflect on our life and what kind of legacy we want to leave for our loved ones and future generations.

Estate planning provides the opportunity to leave behind a lasting impression. Throughout the planning process, existential questions may well be discovered that had not been considered.

In the next few FP weeklies, we will explore this topic and share a few tips worth considering to ensure your loved ones benefit from your lifelong efforts as much as possible.

MG Alpha Model Portfolio Update March 2023

Off the mark

The MG Alpha Return portfolio fell 10.34%, whilst the ASX200 rose 1.98% in the March quarter. The underperformance can be attributed to three stocks; Jervois Global (JRV), IODM (IOD) and Whitehaven Coal (WHC). For JRV and WHC falling commodity prices caused the large falls, and for IOD there was a small capital raise, along with profit taking. Markets began the year strongly, before retreating on concerns for the banking sector following the collapse of Silicone Valley Bank and Credit Suisse. The Dow Jones rose 0.4%, NASDAQ 16.8% and in the UK, the FTSE gained 2.4%. Interest rate hikes were paused in April as investors now ponder if the next move in rates is down. 

Financial Planning 19.04.23 - Stage three Tax Cuts

Financial Planning 19.04.23 - Stage three Tax Cuts

Back in 2018/19 the Federal government passed an income tax package, which included numerous tax cuts that were designed to be introduced in stages over several years. The “Stage three” tax cuts are planned to take effect from 1st July 2024. We think it’s a good time to recap what this entails given the Federal Budget is also due to be released on the 9th May 2023.

Financial Planning 12.04.23 - Structures Superannuation

Financial Planning 12.04.23 - Structures Superannuation

This is the last of our 3-part series on structures, finishing with the final investment vehicle used by most Australians, Superannuation. Superannuation is an effective investment vehicle to save for retirement, however it is a complex and ever-changing area.  The combination of regular contributions, long-term compounding and long-time horizons can create a powerful mix with the right investment strategy.

Residential Property

THE MORRISSEY EXCHANGE, SHAW AND PARTNERS: Podcast #43: Residential Property

We return to normal transmission this week as we continue reviewing the 4 broad asset classes generally available to investors and how they can be combined to form an investment portfolio.

A few weeks ago we interviewed Natasha Nankivell, Partner and Founder of Global Alternative Funds who covered off on alternative investments.

This week Ben Morrissey has a chat with Steve Abbott; a property veteran, Managing Director of Jellis Craig Boroondara and Founder of property portal PropertyMate.

The main reason for focussing in on residential property is simple; it represents the majority of most Australians’ net wealth and let’s face it, everyone has an opinion on it and most Australians love discussing it.

Is it overpriced, cheap, which areas will grow the fastest, where are the growth corridors, where are the opportunities?

Financial Planning 05.04.23 - Structures Companies

Financial Planning 05.04.23 - Structures Companies

Following on from our last weekly, this week, we will provide a basic run down of the Proprietary Company investment structure.

Although this is most often used as a structure for businesses, it can also be used as a vehicle for investments. Companies have the ability to own property, shares, enter contracts and are subject to legal liability in the same way as an individual. Whilst shareholders represent part-ownership of a company, it does not give the shareholder any entitlement to the assets of the company or responsibility of any liabilities.

Reap what you sow. Global ramifications and outcomes of rapid rate rises

THE MORRISSEY EXCHANGE, SHAW AND PARTNERS: Podcast #42: Reap what you sow. Global ramifications and outcomes of rapid rate rises

Although we are currently working our way through the different asset classes, we’ve decided to interrupt this series of podcasts given the potential banking crisis unfolding before our eyes. 

In today’s podcast Ben Morrissey chats with Mr Jonathon Rawicz, Senior Portfolio Manager at Global Bank EFG and Portfolio Manager for the New Capital Equity Conviction Fund. 

Markets are extremely turbulent around the world due to the fear of a collapsing banking sector, so we take time to ask a true global investor his views of where markets are headed and why.

In many ways what is happening now is quite complex, it is also very simple and predictable; a rapid escalation in interest rates will have dramatic, unavoidable results.

Jonathon is an experienced and knowledgeable operator, so we’re fortunate enough to have him with us to unwrap it all.

Financial Planning 22.03.23 - Now that you’ve Retired

Financial Planning 22.03.23 - Now that you’ve Retired

As we go through life, there comes a time where we start getting serious about retirement and what that might look like. For some, retirement gives the opportunity to kick back and enjoy the fruits of labour. For others, it can be a daunting thought, leaving them wondering; are there are enough funds to last the rest of my life? For most, starting early and staying consistent are the keys to a successful retirement.

Request a Consultation

Speak with one of our friendly team members today.