What companies are telling us that the market is missing

Currently, there seems to be a divergence between the market’s recent performance relative to the strength of corporate Australia. Our market continues to trend higher, more specifically reaching an 11½  year high and less than 4% from an all-time peak last seen in November 2007. With the ASX200 on a forward PE of 17 times […]

Continue reading

Banks – not as easy as it used to be

The Big 4 Banks continue to hold a place in many retail investors’ portfolios. With attractive dividend yields, high profitability and a balance sheets better than most developed nations on earth, it stands to reason that many income-seeking investors have a Bank or two (perhaps all four) in their portfolio. But, in the lead up […]

Continue reading

Have federal elections been good or bad for markets?

The market does not like uncertainty. Therefore, it stands to reason that investors become quite nervous whenever there is a Federal election. The potential for massive changes in economic focus and their unknown outcomes will, anecdotally, see households and businesses put many spending and investment decisions on hold. Given the significant implications, markets will try […]

Continue reading

Dial in the future – Can investors rely on Telstra once again?

A household name that most investors are familiar with, Telstra is Australia’s largest telecommunication provider. Telstra is held by many retail shareholders who were lured and encouraged at the time by the Federal Government to the idea of owning a significant piece of national infrastructure. As a listed entity it tried to reinvent itself several […]

Continue reading

Inverted yield recession not a sure thing

Much has been made about the anxiety created by recent negative global macro factors. Be it a slowing China, trade war and Brexit stalemates, the 10-year German Bund rate crossing into negative territory or the Euro-zone economy forever sliding further into a state of “Japanification” (a perpetual state of low growth, inflation, and interest rates). […]

Continue reading

Laziness is not an investment strategy

The popularity of Exchange Traded Funds (ETF) has reached fever pitch in the last few years as their simplicity, and low fees have come to be the default setting for many investors and their advisers seeking share market exposure. This outcome has been no surprise. Particularly given the number of active fund managers in this […]

Continue reading