Market commentary

A recent article by academics from the London Business School shows why it’s so important to stay informed of trends and movements in the business landscape.  Keeping in touch means you can identify industries that are emerging, and those that are under threat – and shape your portfolio accordingly. continue…

by David Buckland Posted in Market commentary.

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You may have read the recent comments by Warren Buffet to Berkshire Hathaway shareholders about the merits of active fund management versus index funds. In short, Buffet’s advice for investors contemplating using active managers is: don’t do it; use low cost index funds instead. But is he right? continue…

by Tim Kelley Posted in Market commentary.

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As investors, there are many macro events we have to consider, both positive and negative. Since the election of Donald Trump, we’ve had to consider one more – the prospect of a war involving the US. Jumping at shadows is no way to invest, so the following should be read as pure postulation, a black swan event sharing its place on the probability spectrum with, say, a meteor hitting Earth. continue…

by Roger Montgomery Posted in Market commentary.

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Malcolm Turnbull is rumoured to be very concerned about Australia losing its coveted AAA credit rating.  Politically, it would be a terrible look were it to occur on his watch.  Our shaky credit rating reflects the failure of successive governments to deal with our most pressing economic issue – the Balance of Payments Current Account Deficit.  And I don’t see things changing soon. continue…

by Roger Montgomery Posted in Market commentary.

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The Prisoner’s Dilemma provides a framework for understanding how to strike a balance between competition and cooperation. It’s possible for rival firms in a competitive market to solve the Prisoner’s Dilemma, without collusion, and for their mutual benefit. Let’s look at how it can be done. continue…

by Scott Shuttleworth Posted in Market commentary.

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In our globalised, high-tech world, market disruptors – like Aldi, Amazon and artificial intelligence – are coming faster than ever before. Disruptors can have a massive impact – positive and negative – on holdings in your portfolio. Which is why, as investors, it’s essential to stay tuned to what could be next. continue…

by Lisa Fedorenko Posted in Market commentary.

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In terms of household debt to disposable income (187 per cent) and household debt to GDP (125 per cent), Australian householders are vying for gold in the debt Olympics.  Our love affair with property has been greatly assisted by record low interest rates and this reduction is illustrated below with the “Interest paid to disposable income ratio” declining from 13 per cent to just over 8 per cent over the past decade. continue…

by David Buckland Posted in Market commentary.

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by Roger Montgomery Posted in Companies, Editor's Pick, Market commentary.

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The 36-year bond bull market is stretched and set for a serious nose dive, says Harvard University researcher, Paul Schmelzing.  Schmelzing says global inflation could trigger large losses on bond holdings, subpar growth in developed markets, and balance sheet risks for banks.  continue…

by David Buckland Posted in Economics, Market commentary.

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Back in 2008, Satoshi Nakamoto conceptualized the first blockchain. The following year, he used it as a core component of the digital currency, bitcoin. Since then, blockchain has become something of a buzz word. So what is it, and why does it matter?
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by Lisa Fedorenko Posted in Market commentary, Technology & Telecommunications.

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