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Statement on Banking Royal Commission
Read more: Statement on Banking Royal CommissionWe’ve all been concerned about recent news emanating from the Financial Services Royal Commission and the confidence of Australians to receive trustworthy, thoughtful and appropriate financial advice. The behaviour of many corporates and advisers has sometimes resulted in a devastating financial impact on investors. Sadly, we have witnessed several of these occurrences when assisting and representing clients who have previously been serviced by bank and institutional financial planners. Many, but not all, of the problems highlighted have stemmed from the vertical integration model that exists within the major banks and institutions. They employ the advisers who the clients deal with. They…
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In & Out of Fashion
Read more: In & Out of FashionThe latest investment fad is over. Bitcoin went from euphoria to revulsion inside of three months. Only a reality television marriage could turn uglier at a faster rate! The proof comes in the form of this chart we’ve compiled that contrasts the weekly Bitcoin price with weekly Google search interest in the term ‘Bitcoin’. The stratospheric run upwards in price coincided with an all-time peak in Google search interest. Let’s assume people wondered how they could get rich ASAP. Then as the price cratered, so did the search interest. As with any financial asset, when something falls in price no…
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Don’t Let Politics Cloud Investment Decisions
Read more: Don’t Let Politics Cloud Investment DecisionsIt could be argued to regularly follow the media is to pursue the extremes of public discourse. Especially, when it comes to politics. Watching the TV, it can be frightening to think of some of the crazed minds that turn up to various ‘pro this’ and ‘anti that’ rallies, but remember they’re not actually representative of anything more than themselves. The media focuses on these varying extremities because it’s good for their business model. Heightened political tensions and outlandish statements offer the impression that conflict, action and urgency are heightened. It turns heads. However, the news never leads with the…
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‘Tis The Season To Be Wrong
Read more: ‘Tis The Season To Be WrongThe year’s winding down, so in the financial world that can only mean one thing – forecasts for next year. Every mainstream media outlet will be putting them together over the next month because A. people like lists; and B. they’re easy to string together. The thing to always keep in mind: they’re all worthless. There’s no value that could be gleaned from forecasters who don’t own working time machines or crystal balls. The fun part comes from looking back because picks and forecasts are mostly made with impunity. There are so many of them that rarely does anyone ever…
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2017 September Quarter Review
Read more: 2017 September Quarter ReviewEconomic Overview Despite continued political uncertainty amid rising tensions with North Korea’s ‘rocket man’ and the ongoing failure of the Trump administration to realise its policy goals, sentiment for the September quarter was largely undimmed. In the US, both economic data and forward-looking activity indicators did slightly deteriorate towards the period end in the wake of hurricanes Harvey and Irma. However, the market and the US Federal Reserve judged any potential impact on growth as transitory and easily overcome. The Federal Open Market Committee confirmed measures to reduce its balance sheet in October, while Federal Reserve chair Janet Yellen added…
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