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Edition: 5

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Edition 5

  • 8 March 2013

A focus on important risks that are often overlooked, such as gearing, sequencing, diversified income and career-related. Plus the major disruptions and opportunities in wealth management.

The returns to expect from gearing into shares

How well must the market perform for a geared portfolio to deliver better returns than a normal, ungeared portfolio? Or put another way, if the market index rises or falls 10%, how much will a geared strategy change in value?

Sequencing risk and ways to manage it

Sequencing risk is the risk of experiencing poor investment performance at the wrong time, typically when the portfolio balance is at its greatest. Here are some hints to recognise and manage it.

Don’t spend your career further exposing yourself

We should consider how our investment portfolio interacts with other risks in our lives, including not investing in shares of the company or the industry you are employed by.

Inside the hidden world of diversified income

Diversified income funds have been extremely popular and have performed well recently, but ‘income’ is often not really income at all. If there is a reversal in some or all of the underlying factors, returns are at risk.

Dynamics, disruptions and opportunities

Significant market-shaping forces are in play which will disrupt many wealth management business models, but with change comes opportunity.

Most viewed in recent weeks

Vale Graham Hand

It’s with heavy hearts that we announce Firstlinks’ co-founder and former Managing Editor, Graham Hand, has died aged 66. Graham was a legendary figure in the finance industry and here are three tributes to him.

Warren Buffett is preparing for a bear market. Should you?

Berkshire Hathaway’s third quarter earnings update reveals Buffett is selling stocks and building record cash reserves. Here’s a look at his track record in calling market tops and whether you should follow his lead and dial down risk.

Welcome to Firstlinks Edition 583 with weekend update

Investing guru Howard Marks says he had two epiphanies while visiting Australia recently: the two major asset classes aren’t what you think they are, and one key decision matters above all else when building portfolios.

  • 24 October 2024

A big win for bank customers against scammers

A recent ruling from The Australian Financial Complaints Authority may herald a new era for financial scams. For the first time, a bank is being forced to reimburse a customer for the amount they were scammed.

The gentle art of death cleaning

Most of us don't want to think about death. But there is a compelling reason why we do need to plan ahead, and that's because leaving our loved ones with a mess - financial or otherwise - is not how we want them to remember us.

Why has nothing worked to fix Australia's housing mess?

Why has a succession of inquiries and reports, along with a plethora of academic papers, not led to effective action to improve housing affordability? Because the work has been aimless and unsupported by a national consensus.

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