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Edition: 62

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Edition 62

  • 16 May 2014

Budgets and the fiscal discipline of Labor and Liberal, poetry for investors, the difference between risk and ambiguity aversion, allowing for investment cycles and imminent changes to SMSF receipts.

Budget time and Labor v Liberal on fiscal discipline

When comparing the fiscal disciplines of left- and right-leaning parties, do the stereotypes prevail? This first part of a three-part series looks at which parties have produced more federal surpluses and deficits.

Poetry for investors

Despite previous failed attempts to inject a bit of the humanities into technical minds, we are reminded that Goethe, Elliot and other great poets actually can provide insights and wisdom to make for better investors.

You have an aversion to what? Is it risk or ambiguity?

We may already know how risk averse we are when it comes to investing, but how much of this is affected by ambiguity aversion. A better understanding of financial products could improve the investment choices we make.

Investors need to allow for future cycles

Economic and investment market cycles do not make for a comfortable ride when making investment decisions and they’re not about to disappear despite numerous smoothing attempts. Face it, cycles just happen.

Changes to SMSF contribution methods

If your SMSF receives contributions from an unrelated employer, you need to prepare now for changes to the way contributions are received which come into effect on 1 July. Paper transactions will soon be a thing of the past.

First Home Saver Account benefits abolished

The benefits in the First Home Saver Account were abolished in this week's budget, removing an excellent first home savings vehicle, even for the 46,000 people who already have one.

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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.

Australian stocks will crush housing over the next decade, one year on

Last year, I wrote an article suggesting returns from ASX stocks would trample those from housing over the next decade. One year later, this is an update on how that forecast is going and what's changed since.

Avoiding wealth transfer pitfalls

Australia is in the early throes of an intergenerational wealth transfer worth an estimated $3.5 trillion. Here's a case study highlighting some of the challenges with transferring wealth between generations.

Taxpayers betrayed by Future Fund debacle

The Future Fund's original purpose was to meet the unfunded liabilities of Commonwealth defined benefit schemes. These liabilities have ballooned to an estimated $290 billion and taxpayers continue to be treated like fools.

Australia’s shameful super gap

ASFA provides a key guide for how much you will need to live on in retirement. Unfortunately it has many deficiencies, and the averages don't tell the full story of the growing gender superannuation gap.

Looking beyond banks for dividend income

The Big Four banks have had an extraordinary run and it’s left income investors with a conundrum: to stick with them even though they now offer relatively low dividend yields and limited growth prospects or to look elsewhere.

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