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22 December 2024

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Edition 105

  •   17 April 2015
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Amid the delight for borrowers as interest rates fall is the anguish for investors living off their term deposit income. A million dollars is a lot of money, but invest it in CBA for one year at only 2.6% to earn $500 a week (before tax) and it won't go far. Rates are likely to move lower, with Australian banks issuing in wholesale markets at 0.3-0.5% less. We all need to accept that the deposits in our portfolios will deliver much lower incomes than we are used to for many years to come.

Editorial | Edition 105, 17 Apr 2015


 

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