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Edition: 70

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Edition 70

  • 11 July 2014

Understand performance statistics, diversification matches future needs, bond default winners and losers, biases of goalkeepers and fund managers, and understand a re-contribution strategy.

Making sense of performance statistics

Fund managers often quote statistics to explain their performance, but what do they really mean, and how can we make useful comparisons?

Diversification’s focus moves to matching future needs

Diversification thinking has evolved from risk and correlations to a focus on matching the future expected liabilities of an investor. It can change the way assets are allocated.

Australia’s default: the winners and losers from bonds

Even when governments default on their debts, there is money to be made by investors who resist the temptation to panic sell in a crisis.

Dive or stay: the biases of goalkeepers and portfolio managers

Portfolio managers and goalkeepers feel the need to do something, but an awareness of this action bias may help them recognise that inaction can be an optimal strategy.

Just what is a re-contribution strategy?

A withdrawal and re-contribution strategy involves accessing your super and re-contributing some or all of it back into your SMSF as a non-concessional contribution (i.e. all tax-free).

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The 2025 Australian Federal election – implications for investors

With an election due by 17 May, we are effectively in campaign mode with the Government announcing numerous spending promises since January and the Coalition often matching them. Here's what the election means for investors.

Finding the best income-yielding assets

With fixed term deposit rates declining and bank hybrids being phased out, what are the best options for investors seeking income? This goes through the choices, and the opportunities and risks involved.

What history reveals about market corrections and crashes

The S&P 500's recent correction raises concerns about a bear market. History shows corrections are driven by high rates, unemployment, or global shocks, and that there's reason for optimism for nervous investors today. 

Howard Marks: the investing game has changed

The famed investor says the rapid switch from globalisation to trade wars is the biggest upheaval in the investing environment since World War Two. And a new world requires a different investment approach.

Welcome to Firstlinks Edition 605 with weekend update

Trump's tariffs and China's retaliatory strike have sent the Nasdaq into a bear market with the S&P 500 not far behind. What are the implications for the economy and markets, and what should investors do now? 

  • 3 April 2025

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