Business and Economy > Firstlinks >

Welcome to Firstlinks Edition 598

Welcome to Firstlinks Edition 598

Advisers and newsletters like ours inevitably focus on financial strategies that can help people prepare for, and thrive in, retirement. Managing risk is a core part of these strategies. Recently, John Kalkman penned a fantastic article in Firstlinks outlining the long list of financial risks that retirees face, including longevity risk, inflation ...
So, we are not spending our super balances. So what!

So, we are not spending our super balances. So what!

The Callaghan Report prepared for the Treasury on Australian superannuation released four years ago was the first to highlight that people are just not spending their superannuation (super) balances. This finding was confirmed in a recent report released by the Grattan Institute which suggested that guiding people towards purchasing lifetime annuities ...
The two best ways to maximise dividend income

The two best ways to maximise dividend income

In his 2022 Berkshire Hathaway shareholder letter, Warren Buffett discussed the ‘secret sauce’ to investing, highlighting growing dividends at two of his long-term holdings: Coca-Cola (NYSE:KO) and American Express (NYSE:AXP). Berkshire bought shares of Coke for a total cost of US$1.3 billion in 1994. The cash dividend that Berkshire received from Coke ...
The fetish for lower taxes has gone too far

The fetish for lower taxes has gone too far

Ok, I am pretty sure today’s post will be controversial, so I have already put on my Kevlar suit to protect me against the inevitable comments I will get from readers about this one. Because I am going to talk about taxes. Look, I work in finance, and you can only get a job in finance if you commit yourself to being a low-tax advocate always and ...
Meg on SMSFs: Winding up market linked pensions with care

Meg on SMSFs: Winding up market linked pensions with care

Thanks to some new rules introduced late last year, many people with old-style super pensions (known as ‘legacy pensions’) will look to wind them up this year. If you have one, you’ll know. You’ll have seen your accountant grimace slightly when talking about your pension and it will have a name like market-linked (also known as term allocated), ...
DigiCo REIT and the data centre opportunity

DigiCo REIT and the data centre opportunity

The data centre industry is a critical backbone of the global digital economy, enabling the storage, processing, and dissemination of data across businesses, governments, and individuals. The sector has experienced rapid growth over the past decade, driven by technological advancements, the proliferation of cloud computing, and the increasing ...
The $1.2 trillion sea change facing Australian investors

The $1.2 trillion sea change facing Australian investors

Every year around 60,000 humpback whales leave the frigid, food-rich waters of Antarctica and begin the world's longest mammal migration, a 5,000-kilometre, three-month journey to the warm waters of northern Western Australia and Queensland. One cohort of Australians who make an effort to witness this event are retirees, blessed with abundant free time ...
Welcome to Firstlinks Edition 597

Welcome to Firstlinks Edition 597

As we head into an election year, the cost-of-living crisis will be at the forefront of voters’ minds. The good news for the Government is that cost inflation is continuing to ease. The Australian Bureau of Statistics’ (ABS) cost-of-living indices show living costs for age pensioner and pensioner and beneficiary households fell by 0.1% in the December ...
Affordability issues cap further house price rises

Affordability issues cap further house price rises

Most economists expect the RBA to cut rates by 25 basis points this month. They also expect that this will fuel renewed demand for housing, and lead to a bounce in home prices. I get frustrated by the almost universal forecasts for house prices to increase by 8-10% annually, like they’ve done in the past. It’s extrapolation and it’s lazy. For instance, ...
How to shift into pension mode

How to shift into pension mode

If our working years can be regarded as the time when we aim to build up our superannuation savings, our retirement years can equally be regarded as the time when we aim to spend them. At least that’s the objective for most Australians. Which generally leads to the question: how do I start accessing my super funds when I do stop working, or maybe even ...
The two key risks facing investors

The two key risks facing investors

In the middle of 2024, my mantra was 'don’t overthink it': positive nominal growth and interest rate cuts were supportive of equity markets, even against the backdrop of stretched valuations in the US. Moving into 2025, I maintain that stance as I expect corporate earnings to hold up and, for now, inflation is still moving in the right direction. But ...

Welcome to Firstlinks Edition 598

Welcome to Firstlinks Edition 598
Advisers and newsletters like ours inevitably focus on financial strategies that can help people prepare for, and thrive in, retirement. Managing risk is a core part of these strategies. Recently, John Kalkman penned a fantastic article in Firstlinks outlining the long list of financial risks that retirees face, including longevity risk, inflation ...

So, we are not spending our super balances. So what!

So, we are not spending our super balances. So what!
The Callaghan Report prepared for the Treasury on Australian superannuation released four years ago was the first to highlight that people are just not spending their superannuation (super) balances. This finding was confirmed in a recent report released by the Grattan Institute which suggested that guiding people towards purchasing lifetime annuities ...

The two best ways to maximise dividend income

The two best ways to maximise dividend income
In his 2022 Berkshire Hathaway shareholder letter, Warren Buffett discussed the ‘secret sauce’ to investing, highlighting growing dividends at two of his long-term holdings: Coca-Cola (NYSE:KO) and American Express (NYSE:AXP). Berkshire bought shares of Coke for a total cost of US$1.3 billion in 1994. The cash dividend that Berkshire received from Coke ...

The fetish for lower taxes has gone too far

The fetish for lower taxes has gone too far
Ok, I am pretty sure today’s post will be controversial, so I have already put on my Kevlar suit to protect me against the inevitable comments I will get from readers about this one. Because I am going to talk about taxes. Look, I work in finance, and you can only get a job in finance if you commit yourself to being a low-tax advocate always and ...

Meg on SMSFs: Winding up market linked pensions with care

Meg on SMSFs: Winding up market linked pensions with care
Thanks to some new rules introduced late last year, many people with old-style super pensions (known as ‘legacy pensions’) will look to wind them up this year. If you have one, you’ll know. You’ll have seen your accountant grimace slightly when talking about your pension and it will have a name like market-linked (also known as term allocated), ...

DigiCo REIT and the data centre opportunity

DigiCo REIT and the data centre opportunity
The data centre industry is a critical backbone of the global digital economy, enabling the storage, processing, and dissemination of data across businesses, governments, and individuals. The sector has experienced rapid growth over the past decade, driven by technological advancements, the proliferation of cloud computing, and the increasing ...

The $1.2 trillion sea change facing Australian investors

The $1.2 trillion sea change facing Australian investors
Every year around 60,000 humpback whales leave the frigid, food-rich waters of Antarctica and begin the world's longest mammal migration, a 5,000-kilometre, three-month journey to the warm waters of northern Western Australia and Queensland. One cohort of Australians who make an effort to witness this event are retirees, blessed with abundant free time ...

Welcome to Firstlinks Edition 597

Welcome to Firstlinks Edition 597
As we head into an election year, the cost-of-living crisis will be at the forefront of voters’ minds. The good news for the Government is that cost inflation is continuing to ease. The Australian Bureau of Statistics’ (ABS) cost-of-living indices show living costs for age pensioner and pensioner and beneficiary households fell by 0.1% in the December ...

Affordability issues cap further house price rises

Affordability issues cap further house price rises
Most economists expect the RBA to cut rates by 25 basis points this month. They also expect that this will fuel renewed demand for housing, and lead to a bounce in home prices. I get frustrated by the almost universal forecasts for house prices to increase by 8-10% annually, like they’ve done in the past. It’s extrapolation and it’s lazy. For instance, ...

How to shift into pension mode

How to shift into pension mode
If our working years can be regarded as the time when we aim to build up our superannuation savings, our retirement years can equally be regarded as the time when we aim to spend them. At least that’s the objective for most Australians. Which generally leads to the question: how do I start accessing my super funds when I do stop working, or maybe even ...

The two key risks facing investors

The two key risks facing investors
In the middle of 2024, my mantra was 'don’t overthink it': positive nominal growth and interest rate cuts were supportive of equity markets, even against the backdrop of stretched valuations in the US. Moving into 2025, I maintain that stance as I expect corporate earnings to hold up and, for now, inflation is still moving in the right direction. But ...