The Australian Government’s Mid-Year Economic and Fiscal Outlook – peak deficit has likely been seen

Introduction The Federal Government has updated its budget deficit projections and economic assumptions in the Mid-Year Economic and Fiscal Outlook (MYEFO). Thanks to a combination of stronger than expected economic growth and a higher than expected iron ore price, revenue growth has increased and projections for outlays have been lowered. As a result, the budget […]

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Are House Prices Poised to Surge?

The Reserve Bank of Australia’s (RBA’s) pledge to keep interest rates on hold until inflation is sustainably back within its 2 to 3% target band could be tested over the next year with a potentially large rebound in house prices. As seen in the chart below, our modelling suggests that overall national home loan affordability […]

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Signing Formal Documents Remotely – New Rules

The COVID-19 Public Health Orders have seen many people, not just solicitors and Justices of the Peace working remotely.  Signing formal documents just got easier because now you can use electronic copies, provided you follow new rules. In response to remote working, the NSW Government has implemented the Electronic Transactions Amendment (COVID-19 Witnessing of Documents) Regulation […]

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2020 Land Tax COVID-19 Relief

About the Program The NSW Government has introduced measures to provide relief to commercial and residential landowners, who provide a reduction in rent to a tenant who is experiencing financial distress as a result of COVID-19. The 2020 land tax COVID-19 relief is intended to reduce a landowner’s land tax payable for 2020, by up […]

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Still The Lucky Country – five reasons why Australian shares are likely to outperform in the year ahead

Introduction In May, in a note called The Lucky Country, I argued that due to Australia’s far better control of coronavirus relative to many comparable countries, a stronger economic policy support response to shutdowns, and exposure to China which was well into economic recovery Australia was likely to come through this period of global misery relatively […]

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2020 Coronavirus Stimulus Package Unpacked

The Government is acting decisively in the national interest to support households and businesses and address the significant economic consequences of the Coronavirus (COVID-19). While the full economic effects from the virus remain uncertain, the Government’s outlook has changed since their initial Economic Response announced on 12 March 2020 and as a result a second […]

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Five Charts On Investing To Keep In Mind In Rough Times Like These

The coronavirus crisis is first and foremost a human crisis and my thoughts are particularly with those on the front line of this battle. But, of course, it’s impacting many aspects of life at present, including investment markets. Successful investing can be really difficult in times like the present when markets have collapsed into a […]

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APRA Intervenes to Improve Sustainability of Individual Disability Income Insurance

The Australian Prudential Regulation Authority (APRA) has launched an intervention into the life insurance market in response to ongoing heavy losses in respect of individual disability income insurance (DII). In a letter to industry today, APRA announced a series of measures, including capital charges, that will require life insurers and friendly societies to address flaws […]

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Review of 2019, Outlook for 2020 – The Beat Goes On

2019 – growth down, returns up Christmas 2018 was not a great one for many investors with an almost 20% slump in US shares from their high in September to their low on Christmas Eve, capping off a year of bad returns from share markets and leading to much trepidation as to what 2019 would […]

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