Financial Services

While you may not follow movements in the bank bill swap rate (BBSW), right now they are worth paying attention to. You see, rates are on the rise. And that means the funding costs for our major banks are also going up. This could force them to raise mortgage rates – and take mortgage stress to another level. continue…

by Stuart Jackson Posted in Financial Services.

• 8 Comments
• save this article
• POSTED IN Financial Services

In this week’s video insight Stuart discusses why the banks are selling or demerging lower return overseas operations and insurance operations.

continue…

by Stuart Jackson Posted in Financial Services, Video Insights.

• save this article
• POSTED IN Financial Services, Video Insights

Since peaking in March 2015, the share prices of our major banks have been plummeting. I fear there is more bad news ahead with the markets beginning to catch up with factors that will limit the banks’ ability to grow their mortgage books as quickly as they have in recent years. continue…

by Roger Montgomery Posted in Financial Services.

• 5 Comments
• save this article
• POSTED IN Financial Services

Forget the Royal Commission. An even greater threat to Aussie banks lies just over the horizon in the form of new high-tech competitors that can price financial products at levels that our banks find impossible to match. continue…

by Stuart Jackson Posted in Financial Services.

• 6 Comments
• save this article
• POSTED IN Financial Services

The statistical release of APRA and the RBA’s credit growth data for April shows a stabilisation in the rate of overall mortgage, personal and business loan book growth at 5 per cent across the overall Australian market. By category, mortgage book growth continued to slow, increasing 6 per cent year over year, while business loan book growth improved a little to 4.4 per cent. continue…

by Stuart Jackson Posted in Financial Services.

• save this article
• POSTED IN Financial Services

In the midst of the Royal Commission into Misconduct in Financial Services, the major banks have released their latest half yearly results. The market headed into the reporting period with a high degree of apprehension given the public backlash emanating from the revelations coming from testimony at the Royal Commission to date. continue…

by Stuart Jackson Posted in Companies, Financial Services.

• save this article
• POSTED IN Companies, Financial Services

“While the outlook for Blue Sky is easy to articulate, the execution is always more challenging…Our business is well placed to meet the inevitable challenges that lie ahead” quoted the 2017 Annual Report. continue…

by David Buckland Posted in Companies, Financial Services.

• 4 Comments
• save this article
• POSTED IN Companies, Financial Services

The Royal Commission into the Australian financial sector seems to be taking a dim view of the way lenders assess the expenditure of loan applicants. It’s possible it will recommend that banks check the actual level of spending of each applicant. This could have big ramifications. continue…

by Andreas Lundberg Posted in Editor's Pick, Financial Services.

• 15 Comments
• save this article
• POSTED IN Editor's Pick, Financial Services

A new report confirms that mortgages in arrears are rising sharply. Is this just a blip, or a worrying sign that more and more Australian borrowers are struggling to meet their commitments? continue…

by Andreas Lundberg Posted in Editor's Pick, Financial Services.

• 7 Comments
• save this article
• POSTED IN Editor's Pick, Financial Services

After raising standard variable rates on interest only and investment property mortgages in 2016 and 2017, the big banks have recently unwound some of these increases. This has surprised some observers. So, what’s going on? continue…

by Stuart Jackson Posted in Editor's Pick, Financial Services.

• 4 Comments
• save this article
• POSTED IN Editor's Pick, Financial Services